Millburn Press Release, September 16, 2016
MILLBURN COMMODITY PROGRAM NOMINATED AS 2016 BEST MANAGED FUTURES CTA WITH LESS THAN USD 1 BILLION AUM
Millburn Ridgefield Corporation’s Millburn Commodity Program (“Millburn Commodity” or "Strategy")¹ has been nominated for an HFM US Performance Award 2016 in the category “Best Managed Futures (CTA) less than USD 1 billion of assets under management.”
The HFM US Performance Awards recognize and reward those hedge funds and funds of hedge funds that have outperformed their peers over the past 12 months (through June 30, 2016). Millburn Commodity is one of eight programs nominated in this category. Nominations were based on quantitative data provided by HFM.
ABOUT MILLBURN COMMODITY PROGRAM
Millburn Commodity Program is a systematic, commodity-only long/short strategy that has been investing continuously since March 2005. It trades a diversified set of more than 45 liquid global commodity futures markets, utilizes a range of price, price-derivative and non-price data, and acts across a broad range of time frames. Millburn Commodity was up 24.07% over the last 12 months (through June 30, 2016), was up 25.49% in 2015, and through August 2016 was up 3.47% year-to-date. The Strategy has historically demonstrated low or near-zero correlation to many stock, bond and hedge fund indices.*
For further information, please contact us.
NOTES AND DISCLAIMERS
PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS. THE POTENTIAL FOR PROFIT IS ACCOMPANIED BY THE RISK OF LOSS.
*Correlations of Millburn Commodity to stocks, bonds and hedge funds were measured from its inception in March 2005 to end August 2016, utilizing the S&P 500 Index (correlation of -0.07 to Millburn Commodity), the MSCI World Index (correlation of -0.03) and the Citi World Government Bond Index (correlation 0.04) to measure correlation to stocks and bonds. Correlations to hedge funds were measured utilizing the HFRI Fund Weighted Composite Index (correlation of 0.13).
RISKS OF AN INVESTMENT IN MILLBURN COMMODITY PROGRAM (the “Strategy”) include but are not limited to the following: (i) The Strategy is speculative. Investors may lose all or a substantial portion of their investment in the Strategy; (ii) The Strategy is leveraged. The Strategy will acquire positions with a face amount of as much as six to eight times or more of its total equity. Leverage magnifies the impact of both profit and loss; (iii) The performance of the Strategy is expected to be volatile. Since inception, monthly returns in the Strategy ranged from up 16.65% to down 7.09%; (iv) Investors will sustain losses if the Strategy is unable to generate sufficient trading profits and interest income to offset its fees and expenses; (v) A lack of liquidity in the markets in which the Strategy trades could make it impossible for the Strategy to realize profits or limit losses; (vi) A substantial portion of the trades executed for the Strategy take place on foreign exchanges. No U.S. regulatory authority or exchange has the power to compel the enforcement of the rules of a foreign board of trade or any applicable foreign laws.
¹Returns described herein are net of all fees, expenses and transaction costs typically incurred in a separately managed account trading the Strategy (2% per annum management fee; actual transaction costs incurred; 0.25% per annum ordinary operating and administrative expenses; 20% annual profit share, subject to a high water mark), and reflect the reinvestment of profits.
The investment strategy and themes discussed herein may be unsuitable for investors depending on their specific investment objectives and financial situation. Diversification does not eliminate the risk of experiencing investment losses. The information contained herein is intended for use by sophisticated investors who may be interested in opening a separately managed account. Prospective managed account clients must be "qualified eligible persons" within the meaning of CFTC Rule 4.7. Futures accounts are speculative, employ significant leverage, involve a high degree of risk, are not suitable for all investors, and may involve high fees. There can be no assurance that an investment strategy will achieve its objectives. This information is not a solicitation for investment. Such an investment may only be made on the basis of information and representations made in the appropriate written disclosure document.
This press release is based on performance and other information available as of the date indicated. Any markets, models, leverage, portfolio weights and other data described herein change over time, but are accurate as of the date indicated herein. This press release is not an invitation to invest in any investment strategy managed by Millburn Ridgefield Corporation (“Millburn”) and must be supplemented by certain disclosure when considering an investment, including important information concerning risk factors, conflicts of interest and other material aspects of an investment; this must be read carefully before any decision whether to invest is made. Investors may lose all or a substantial amount of their investments.