Frontier Capital launches multi-manager managed futures fund

Frontier Capital Management is launching a managed futures fund of funds this week.

The model-driven FrontEdge Managed Futures fund is the second alternative fund from Frontier, following FrontEdge Global Hedge fund, launched in 2009. Michael Azlen, founder of the $600m manager, said Frontier's has always allocated to managed futures managers due to their high liquidity and low correlation to equities and to other hedge funds. In 2008, model-driven funds made 14%, but they made only 4.8% by 31 October. Azlen said: "The inclusion of managed futures in either traditional equity/bond or more diversified portfolios has been shown to improve risk-adjusted returns, and ...