Strategic Analysis Map by Kettera - January 2022
In January 2025, managed futures strategies demonstrated varied performance compared to popular industry and financial benchmarks. While specific January data for sub-strategies like Quantitative Macro, Systematic Trend, Industrial Commodities specialists, and Shorter-Term strategies is not explicitly available, there are some insights to be gleaned from the performance of these strategies in other months.
Quantitative strategies, which include Quantitative Macro, were among the weaker performers in July 2025, with significant performance dispersion at the sub-strategy level. This suggests that specialized approaches like Systematic Trend or Industrial Commodities specialists may have different outcomes within that group.
On the other hand, shorter-term systematic strategies such as the VIX Futures Strategy have demonstrated attractive long-term risk-adjusted returns, indicating that these strategies can provide diversified return streams uncorrelated with traditional benchmarks.
In the global macro sector, managers in the Hydra style bucket experienced impressive returns in January, particularly in the FX sector. Short-term and higher-frequency strategies had mixed results, with fixed income markets providing the best opportunities, while FX was less favorable due to mid-month bullish and end-of-month bearish reversals in the USD.
Managers specializing in industrial commodities saw mixed results, with directional positioning performing relatively well, but spread and relative value trading struggling, particularly in the energy markets. In the FX sector, major currencies generated most of the profits, with PPP, yield curve shifts, and other longer-term "value" oriented metrics being significant factors.
It's important to note that the performance of these strategies can vary significantly based on macroeconomic conditions and market volatility. For instance, Systematic Trend programs had an "inflation-fueled" month in January, with winning positions in long crude oil, long agricultural markets, and short positions in fixed income and interest rates.
The views expressed in this article are those of the author and do not necessarily reflect the views of AlphaWeek or its publisher, The Sortino Group. The benchmark sources for this article include various indices such as Eurekahedge Macro Hedge Fund Index, BarclayHedge Global Macro Index, Société Générale Trend CTA Index, and others.
However, it's crucial to remember that hypothetical performance results of style baskets have many inherent limitations, some of which are described in the footnotes. For a precise January 2025 month-to-month performance comparison, including returns vs. benchmarks like the S&P 500 or Bloomberg Commodity Index, one would need access to specialized hedge fund performance databases or managed futures indices data not present here.
In conclusion, while specific January 2025 data for managed futures strategies is limited, there is evidence that Quantitative Macro and Systematic Trend strategies have variable performance, with some underperformance relative to broader hedge fund strategies in mid-2025. Shorter-term systematic strategies such as VIX futures carry have demonstrated uncorrelated, risk-managed returns historically.
Investing in Quantitative Macro strategies in July 2025 might have resulted in underperformance compared to other months, as these strategies showed significant performance dispersion. On the other hand, shorter-term systematic strategies like the VIX Futures Strategy have historically demonstrated attractive long-term risk-adjusted returns, offering diversified return streams that can be uncorrelated with traditional benchmarks.
