Summary

Conquest Managed Futures Select is designed to provide institutional investors with transparent and non-optimized exposure to the managed futures sector. Medium- and long-term trend-followers, which account for roughly 90% of the managed futures space, tend to generate extremely correlated and nearly commoditized return streams. The return streams are only marginally different than the most simple and, therefore, robust breakout models. Conquest MFS is designed to replicate exposure to this commoditized trendfollowing on multiple time frames, ranging from 5 days to 200 days. It consists of 20 breakout strategies using Conquest’s volatility based risk management methodology. Much in the same way that stock index funds outperform a large percentage of actively managed mutual funds, we have found that a trend-following “index fund” outperforms most actively managed trend-following programs. We designed Conquest MFS to become the “index fund of trend-following.” The goal is to provide pure trend-following “beta”, which is an important allocation to any hedge fund portfolio.