Modern Portfolio Theory: DYNAMIC DIVERSIFICATION FOR TODAY’S INVESTOR Contact: Mitch Fee Alternative Investments Three Lakes Advisors (949) 533-2136
[email protected] Modern Portfolio Theory: Dynamic Diversification for Today’s Investor A Personal Message from Three Lakes Advisors ____________________________________________1 Modern Portfolio Theory _______________________________________________________________3 Growth of Managed Futures ____________________________________________________________4 Studies on Managed Futures Portfolio Impact and Performance ________________________________5 Hypothetical Examples of Adding Managed Futures to a Stock and Bond Portfolio __________________10 Are Managed Futures Riskier Than Stocks? ________________________________________________11 Academic Studies on Managed Futures ___________________________________________________11 What Are Professional Commodity Trading Advisors? ________________________________________14 The Professional Versus The Amateur Trader ______________________________________________15 Dynamic Diversification at an Affordable Cost ______________________________________________16 Our CTA Selection Process ____________________________________________________________17 Doubly Diversified CTA Portfolios ________________________________________________________17 The Investment Process _______________________________________________________________18 Questions & Answers _________________________________________________________________19 Trading futures and options involves