Managed Futures ETFs: A Hedge Against Market Volatility?

Investor interest in managed futures products has increased amid rising stock market volatility and higher correlations between stocks and bonds. These strategies came into the spotlight in 2022, when many of them surged as both stocks and bonds nosedived. What are Managed Futures? Managed futures ETFs provide investors with exposure to futures contracts across asset classes, including commodities, currencies, stocks and bonds. These funds use systematic strategies to identify market trends and adjust their positions accordingly. They can go long when prices are rising and short when prices are falling, allowing them to potentially profit in both bull and bear markets.