Efficient, as the research partner, collaborated with STOXX® to develop a rules based methodology to create an index that captures the returns of Managed Futures as an asset class. Efficient will provide all the data necessary for STOXX to independently calculate and publish the index value on a daily basis. In addition, Efficient's proprietary database will be used to constitute the index universe for the annual selection of the index constituents. Daily returns from CTA managed accounts on Efficient's managed account platform will also be utilized for the calculation of the daily index value.
The iSTOXX Index will enable market participants to measure the composite performance of some of the world's largest CTAs on a daily basis. It can also be used as a benchmark against a single CTA, pool of CTAs, or as an underlying for financial products. CTAs invest across listed financial futures markets, such as commodities, equity indices, fixed income and foreign exchange, as well as interbank FX. This broad exposure ultimately leads to a well diversified index.
The iSTOXX Index provides a representation of the Managed Futures industry returns. The index universe from which the constituent CTAs are selected is made up of some of the largest CTAs globally, and are identified through Efficient Capital Management's screening processes. These CTA programs are ranked by assets under management (AUM) and the top twenty to satisfy the following criteria are selected as index constituents for the ensuing year: willingness to manage a minimum of $100 million in AUM, have a minimum three year track record, are open to new investments, willingness to trade a managed account and offer fees which are equal or lower than their publicly traded fund. The index constituents are weighted equally when adjusted for risk as measured by the trailing 36 month volatility. The iSTOXX Index will be reconstituted annually and rebalanced on a monthly basis.
For more information on the iSTOXX Efficient Capital Managed Futures 20 Index, click this link:
Notes: The information contained herein does not constitute a solicitation in any jurisdiction, is neither an offer to sell securities, futures, commodities or other instruments nor a solicitation of an offer to buy securities, futures, commodities or other instruments, and does not constitute an offer to enter into an investment agreement with anyone nor an invitation to respond by making an offer to enter into an investment agreement.
STOXX Limited, its owners, data sources, business partners and agents (the "STOXX Parties") have no relationship to Efficient Capital Management, LLC, ("Efficient") other than the licensing of the iSTOXX Index and the related trademarks.
The STOXX parties: do not sponsor, endorse, sell or promote any fund offered by Efficient ("Fund"); do not recommend that any person invest in any Fund or any other securities; do not have any responsibility or liability for or make any decisions about the timing, amount or pricing of any Fund; do not have any responsibility or liability for any administration, management or marketing of any Fund; and, do not consider the needs of any Fund or the owners of any Fund in determining, composing or calculating the iSTOXX Index or have any obligation to do so.
The STOXX Parties do not make any warranty, express or implied, and disclaim any and all warranties about: the results to be obtained by any Fund, the owner of any Fund or any other person in connection with the use of the iSTOXX Index, and the data included in the iSTOXX Index; the accuracy or completeness of the iSTOXX Index and its data; or the merchantability and the fitness for a particular purpose or use of the iSTOXX Index and its data.
The STOXX Parties will have no liability for any errors, omissions or interruptions in the iSTOXX Index or its data.
Under no circumstances will the STOXX Parties be liable for any lost profits or indirect, punitive, special or consequential damages or losses, even if the STOXX Parties know that they might occur.
The Efficient logo, Efficient Capital and Efficient Capital Management are registered trademarks of Efficient Capital Management, LLC.
STOXX Ltd. is part of Deutsche Börse and SIX and is an independent leading index specialist. STOXX indices are protected through intellectual property rights. STOXX is a registered trademark. The use of the STOXX indices for financial products or for other purposes requires a license from STOXX. STOXX is not providing investment advice through the publication of the STOXX indices or in connection therewith. In particular, the inclusion of a company in an index, its weighting, or the exclusion of a company from an index, does not in any way reflect an opinion of STOXX on the merits of that company. Financial instruments based on the STOXX indices are in no way sponsored, endorsed, sold or promoted by STOXX.