Wealth Management

Rocky markets with lots of macro uncertainty have investors looking harder for diversification. While private assets are drawing attention, a quieter corner of the alternatives world — managed futures ETFs — has quietly surged in popularity. 

 

Funds like the Simplify Managed Futures Strategy ETF (CTA) and the Invesco Managed Futures Strategy ETF (IMF) have each attracted hundreds of millions of dollars in new inflows this year. 

 

These strategies follow market trends across asset classes, taking long and short positions in commodities, rates, currencies, and sometimes equities. Their key appeal lies in their historically low correlation to both stocks and bonds, making them useful portfolio diversifiers. 


Finsum: With investors searching for tools to steady returns in volatile markets, managed futures ETFs are stepping into the spotlight as timely complements to traditional allocations.

Treasury Secretary Scott Bessent said Tuesday he is optimistic that the U.S. and China are closing in on a trade agreement. In an interview with CNBC, he noted that upcoming talks ahead of November’s scheduled reciprocal tariffs have become increasingly productive. 

 

Bessent suggested Beijing now recognizes that a deal is within reach, even after months of back-and-forth since tariffs were first announced in April. 

 

While China initially faced duties as high as 145%, those measures have been suspended through Nov. 10 to allow negotiations to continue. He also highlighted that U.S. allies are frustrated by the surge of Chinese goods into their markets, a dynamic adding urgency to the talks. 


Finum: With the U.S. trade deficit with China already narrowing sharply in 2025, there could be a strong incentive to reach a trade deal as soon as possible. 

Recent changes allow 401(k) plans to hold private market and alternative investments, opening the door for managed accounts to expand their offerings. Managed accounts, which provide professionally managed, customizable portfolios, are seeing rapid growth, with assets reaching $13.7 trillion in 2024 and net flows topping $811 billion. 

 

Incorporating private equity, venture capital, private credit, and real estate into these accounts requires robust technology for reporting, valuations, and liquidity management. 

 

Firms like InvestCloud are creating platforms that enable scalable, model-based access to private market investments, allowing advisors to integrate these assets alongside traditional ETFs and mutual funds. Such technology also supports liquidity solutions, like lending against securities, so investors can access cash without disrupting long-term strategies. 


Finsum: With regulatory adjustments, including tweaks to the Accredited Investor rules and the 401(k) shift, managed accounts are positioned to broaden access to previously hard-to-reach alternative investments.

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