Managed futures funds have faced a difficult 2025, with the HFRX Macro: Systematic Diversified CTA Index down 8.0% through May 23. As one of our preferred liquid alternative implementation choices, a dive into what has been driving this year’s performance is warranted.

Performance Drivers

For background, managed futures strategies, also known as trend-followers or Commodity Trading Advisors (CTAs), can be notoriously difficult to parse (and not to mention agree on a category name). But these strategies use price-based signals over the past several weeks/months to take long and short positions across equity, bond, commod

It has seemingly been a one-way move higher in longer-term interest rates in May, with the 30-year U.S. Treasury yield above 5% again and higher by 0.36% this month alone. Additionally, the 10-year U.S. Treasury yield breached 4.5%, up 0.35% in May alone. The reasons for the sell-off are many: elevated inflation expectations, a Federal Reserve (Fed) on hold, foreign buyer boycotts, the recent Moody’s downgrade, and the potential for more debt and deficit spending (which are all likely exacerbated by an illiquid Treasury market).

But it hasn’t been just a U.S. problem, long-term interest rates have surged globally, wit

On May 3, 2025, at the Berkshire Hathaway (BRK) annual shareholders meeting, Chief Executive Officer (CEO) Warren Buffett announced he would be stepping down at the end of the year. Buffett will be succeeded by Greg Abel, the current Vice Chairman of Non-Insurance Operations at Berkshire. Buffett is stepping down after more than half a century, 60 years to be exact, at the helm of one of the largest investment conglomerates in the world.

In 1965, Buffett took over a struggling Berkshire, once a textile company, and transformed it into one of the most successful holding companies’ globally, strategically investing in compani

The classic 60/40 portfolio has weathered its fair share of storms (and criticisms) in recent times, and 2025 is shaping up to be a year defined by complexity, volatility, and recalibration for asset allocators. As we move through the second quarter, the LPL Research Strategic and Tactical Asset Allocation Committee (STAAC) has made several recent adjustments to our Tactical Asset Allocation (TAA) 60/40 strategy, which aligns with our Growth with Income (GwI) Investment Objective (IO), to reflect the evolving macroeconomic and market landscape. While economic and policy uncertainty remains high, we believe opportunities persist for those willin