Untitled Document
ArrowFundsLogo
Managed
Futures
Materials   /  Performance  /  Holdings  /  Distributions
 




Employ Alternatives


Arrow Managed Futures Strategy Fund Class I (MFTNX)
MFT-MorningstarTable-033122v4.jpg

Past performance does not guarantee future results. For periods less than one year, performance is not annualized. The performance data quoted represents past performance and current returns may be lower or higher. The investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than the original cost. To obtain performance information current to the most recent month end, please call 1-877-277-6933. The fund charges a fee of 1.00% on redemptions of shares held less than 30 days. The total fund expenses for Class I is 1.56%. Inception date for Class I is 3/21/12. Source: Morningstar. Morningstar proprietary ratings reflect total return performance through March 31, 2022. The ratings are subject to change every month. To view the most recent Managed Futures Strategy Fund performance data, click here.

A Non-Traditional Standout

Arrow’s Managed Futures Strategy outperformed all alternative funds for these combined performance periods (YTD, 1-Year, 3-Year, 5-Year and 10-Year) among these categories (896 funds total):

  • Alternative (All Categories)
  • Commodity (Broad Basket)
  • Non-Traditional Equity
  • MLPs
  • Precious Metals
  • Real Estate
  • Non-Traditional Bond
  • TIPS

NonTradStandoutV4.jpg
Past performance does not guarantee future results. For more information on the ranking and Morningstar categories, see additional disclosure below. Data Source: Morningstar, as of March 31, 2022, calculated by Arrow. Risk measures the degree of volatility of returns around the average return. To view the most recent performance data, visit Arrow Fund's website here.

Managed Futures strategies may
appeal to investors seeking:
 
  • portfolio diversification,
  • exposure to non-traditional assets (such as commodities and currencies),
  • and low correlation to traditional investments.

Arrow Managed Futures Strategy Fund
Targeting Trends in the Global Futures Markets

The Arrow Managed Futures Strategy Fund is a mutual fund that provides exposure to global commodity and financial futures markets by closely tracking DUNN Capital Management's World Monetary and Agriculture Program- a systematic trend following managed futures strategy.

MFT-CommoditesChart-2022.png
Markets Covered

The Fund encompasses a portfolio of more than 50 components across financial and commodity futures.

Leverage DUNN Capital Management

DUNN Capital has been offering the CTA World Monetary & Agriculture "WMA" Program since 1984.

Arrow employs the disciplines of DUNN by employing a systematic, rule-based strategy.

This approach seeks to extract profits from both upward and downward trends.
LeverageDUNN-movingimage.gif

TacticalDiversification.gif
Make Your Static Portfolio More Adaptive

Adapt to enhance returns with a tactical strategy that is constantly looking for market opportunities.

Help mitigate risk with a tactical strategy that may bring true diversification to a sleepy portfolio.

Click Icon Above
Online Brokers

MFTFX (Class A), MFTTX (Class C), and MFTNX (Class I) of the Managed Futures Strategy Fund can be found through your financial advisor, at most leading online brokers, or directly on our website by clicking the "Buy Direct" button to the left.

InteractiveBrokers  CharlesSchwab

TDAmeritrade TradeStation
robinhood300.pngFidelity Vanguard

Click Icon Above to Visit Brokerage Website

Trademarks and names are the property of their respective owners and do not imply any endorsement of Arrow Funds and its affiliates. By clicking on or copying any of the links above you will be leaving the Arrow Funds site and entering a third party site. Arrow Funds is not responsible for any information contained on these third party sites. Opinions expressed are subject to change at any time, are not guaranteed and should not be considered investment advice.


Arrow Managed Futures Strategy Fund (MFTNX: Class I) vs. Endowment Benchmarks




For performance as of the most recent calendar quarter-end, click here.

Managed Futures SC is the Arrow Managed Futures Strategy Fund since the strategy change. The strategy change was fully implemented on November 1, 2015. The return for Managed Futures SC is MFTNX (Class I). Index returns assume reinvestment of dividends, but do not reflect any management fees, transaction costs or expenses. Indexes are unmanaged and are not available for direct investment. Categories display the returns of current US funds in the category during the time period shown, subject to survivorship and/or re-categorization. Source: Morningstar, calculated by Arrow. Past performance does not guarantee future results. For periods less than one year, performance is not annualized. The performance data quoted represents past performance and current returns may be lower or higher. The investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than the original cost. To obtain performance information current to the most recent month end, please call 1-877-277-6933. The maximum sales charge for Class A is 5.75% and may be eligible for a reduction in sales charges. The fund charges a fee of 1.00% on redemptions of shares held less than 30 days. Arrow Managed Futures Strategy Fund’s total fund expenses are Class A 1.49%, Class C 2.24% and Class I 1.23%. The net annual operating expense is Class A 1.47%, Class C 2.22%, and Institutional 1.21%, plus acquired fund fees and expenses of 0.02%. (SI) Since Inception date for Class A and Class C is 4/30/10; Class I 3/21/12. Risk measures the degree of volatility of returns around the average return. Maximum Drawdown (Max DD) is defined as the percent of drawdown (losing period) from a peak to a low. To view the most recent performance data, visit Arrow Fund's website here.


Managed Futures vs. Equity Risk
MFT-ScreenRecorderProject145.gif
Past performance does not guarantee future results. Data source: calculated by Arrow, data through 5.31.2022. Managed Futures is the Arrow Managed Futures Strategy Fund. FAANG Stocks refer to the stocks of prominent American technology companies including Meta (Facebook), Amazon, Apple, Netflix, and Alphabet (Google).


MFT-Commod1.jpgMFT-Currency1.jpgMFT-Futures2.jpg


Categories are based on Morningstar category data. Category returns assume reinvestment of dividends and are net of management fees, transaction costs or expenses. The number of funds in a category will vary, subject to survivorship bias from fund closure and recategorization. The driving principles behind the Morningstar classification system is categories have enough constituents to form the basis for reasonable peer group comparisons and portfolios within a category invest in similar types of securities. The distinctions between categories are meaningful to investors and assist in their pursuit of investing goals. Here is a breakdown of each category. Macro Trading (Global Macro) are funds using either systematic or discretionary methods, look for investment opportunities by studying such factors as the global economy, government policies, interest rates, inflation, and market trends. As opportunists, these funds are not restricted by asset class and may invest across such disparate assets as global equities, bonds, currencies, and commodities, and make extensive use of derivatives. Although these strategies aim to provide returns that are not correlated to traditional market indexes over a full market cycle, they can take significant directional long or short positions on any asset class over short periods and may have relatively high portfolio turnover. Multistrategy are funds that offer investors exposure to two or more alternative investment strategies, as defined by Morningstar’s alternative category classifications, through either a single-manager or multi-manager approach. Funds in this category typically have a majority of their assets exposed to alternative strategies, but at a minimum, alternatives must comprise greater than 30% of the strategy’s gross exposure. The category includes funds with static allocations to alternative strategies as well as those that tactically adjust their exposure to different alternative strategies and asset classes. Energy Limited Partnership funds invest a significant amount of their portfolio in energy master limited partnerships. These include but are not limited to limited partnerships specializing in midstream operations in the energy industry. Nontraditional Bond portfolios pursue strategies divergent in one or more ways from conventional practice in the broader bond-fund universe. They include portfolios, which seek to avoid losses and produce returns uncorrelated with the overall bond market or portfolios that have more flexibility to manage interest-rate sensitivity, but attempt to tactically manage those exposures in order to minimize volatility across a wide swath of individual fixed income sectors. The category is also home to a subset of portfolios that attempt to minimize volatility by maintaining short or ultra-short duration portfolios.  Large-blend portfolios are fairly representative of the overall US stock market in size, growth rates and price. Stocks in the top 70% of the capitalization of the US equity market are defined as large cap. The portfolios' returns are often similar to those of the S&P 500 Index. Long-Short Equity portfolios hold sizeable stakes in both long and short positions in equities and related derivatives. Some funds that fall into this category will shift their exposure to long and short positions depending on their macro outlook or research. Event driven portfolios attempt to profit when security prices change in response to certain corporate actions, such as bankruptcies, mergers and acquisitions, emergence from bankruptcy, shifts in corporate strategy, and other atypical events. Activist shareholder and distressed investment strategies also fall into this category. These portfolios typically focus on equity securities but can invest across the capital structure. They typically have low to moderate equity market sensitivity since company-specific developments tend to drive security prices. Relative value portfolio seeks out pricing discrepancies between pairs or combinations of securities regardless of asset class. They often employ one or a combination of debt, equity, and convertible arbitrage strategies, among others. They can use significant leverage and typically seek to profit from the convergence of values between securities. Funds in this category typically have low beta exposures to major market indexes due to their offsetting long and short exposures. Options trading portfolios use a variety of options trades, including put writing, options spreads, options-based hedged equity, and collar strategies, among others. In addition, strategies in this group that engage in option writing may seek to generate a portion of their returns, either indirectly or directly, from the volatility risk premium associated with options trading strategies. Equity market neutral portfolios attempt to profit from long and short stock selection decisions while minimizing systematic risk created by exposure to factors such as overall equity market beta, sectors, market-cap ranges, investment styles, or countries. They try to achieve this by matching long positions within each area against offsetting short positions, though they may vary their exposure to market risk factors modestly. Systematic trend portfolios primarily implement trend-following, price-momentum strategies by trading long and short liquid global futures, options, swaps, and foreign exchange contracts. The remaining exposure may be invested in a mix of other complementary nontraditional risk premia. These portfolios typically obtain exposure referencing a mix of diversified global markets, including commodities, currencies, government bonds, interest rates and equity indexes. Commodities Broad Basket portfolios can invest in a diversified basket of commodity goods including but not limited to grains, minerals, metals, livestock, cotton, oils, sugar, coffee, and cocoa. Investment can be made directly in physical assets or commodity-linked derivative instruments, such as commodity swap agreements. Real estate portfolios invest primarily in real estate investment trusts of various types. REITs are companies that develop and manage real estate properties. There are several different types of REITs, including apartment, factory-outlet, health-care, hotel, industrial, mortgage, office, and shopping center REITs. Some portfolios in this category also invest in real estate operating companies. Derivative income portfolios primarily use an options overlay to generate income while maintaining significant exposure to equity market risk. Income is typically generated through covered call writing strategies, for example, while traditional equity risk factors dictate a substantial portion of the return. Intermediate-term core bond portfolios invest primarily in investment-grade U.S. fixed-income issues including government, corporate, and securitized debt, and hold less than 5% in below-investment-grade exposures. Inflation-protected bond portfolios invest primarily in debt securities that adjust their principal values in line with the rate of inflation. These bonds can be issued by any organization, but the U.S. Treasury is currently the largest issuer for these types of securities. Precious-metals portfolios focus on mining stocks, though some do own small amounts of gold bullion. Most portfolios concentrate on gold-mining stocks, but some have significant exposure to silver-, platinum-, and base-metal-mining stocks as well. Precious-metals companies are typically based in North America, Australia, or South Africa.

The Arrow Managed Futures Strategy Fund may not be suitable for all investors. The funds may invest in commodity-related securities, which may be subject to greater volatility than investments in traditional securities. The use of derivatives such as futures, options, structured notes, repurchase agreements and swap agreements may expose the fund to additional risks than investing directly in the underlying securities. Investing in leveraged instruments will magnify any gains or losses on those instruments. Fixed income securities are subject to risks including interest rate, credit, inflation and counterparty risks. The funds may allocate assets to an offshore subsidiary which is not subject to the Investment Company Act of 1940, meaning that changes in laws could result in the inability to operate as described in the prospectus. The fund's use of short selling and investment in currency-related securities involves increased risk and additional costs.

To view the most recent performance data, visit Arrow Fund's website here.
0056-AD-06152022