Our Managed Futures Service
Customized For You
Our Managed Futures Team analyzes numerous trading programs to provide you with a customized portfolio based on your return objectives, your tolerance for risk, your existing portfolio, and the amount of capital you want to invest.
Based upon your stated needs and preferences, we will implement our proprietary selection process to design a customized portfolio of Commodity Trading Advisors (CTAs). CTAs don’t hold client funds; they simply have Trading Authority on your account and are highly regulated by the National Futures Association and the Commodity Futures Trading Commission.
On an ongoing basis, the trading managers are monitored to ensure they continue to be appropriate for your needs and continue to meet the rigorous standards set by Dorman Trading.
Our due diligence procedures comprise many levels of investigation:
This process concerns the statistical evaluation of a managers’ performance over various periods. The use of a series of ratios enables risks and returns to be measured over time and the performances of managers to be compared with each other or with various benchmarks, such statistical measures include:
- Statistical Analysis
- Risk Adjusted Stats: Sharpe, Sterling, Sortino Ratios
- Standard & Downside Deviation
- Drawdown Analysis & Calmar Ratio
- Correlation Coefficient
Our due diligence extends beyond quantitative analysis in order to determine whether a manager can sustain his or her performance; we believe our in-depth, qualitative research has given us critical insight in identifying those managers that have a sustainable edge. Among these qualitative factors include:
- Background of Principals
- The Manager’s Integrity, Reputation, References
- Risk Management Philosophies (Risk per trade, etc.)
- Investment Style (Systematic, Discretionary, etc.)
- Market Specialties, Disciplines, Processes.
- Internal Controls (Regulatory Compliance)
- On-Site Manager Visits