1. What is a CTA managed futures account?
A managed futures account is an account that a client opens in their own name and is managed by a Commodity Trading Advisor (CTA). The CTA is granted power of attorney to make trades in the account following the CTA’s investment strategy or program. Accounts are individual but trades for all accounts are placed simultaneously.

2. How do I open a managed futures account?
To open a managed account you open an account with a futures commission merchant, then read and fill out the disclosure document for the CTA. The account is in your name and you are the only one that can take money out of the account or put money in the account.

3. Where is the money in my managed account kept?
The money is held by the futures commission merchant that you choose to open the account with. At no time does the CTA have possession of the money nor can the CTA move the money into or out of the account. The CTA can only trade the account in a manner consistent with the program that you have signed on to.

4. How easily can I access funds in my managed account?
Since the account is in your name at the futures commission merchant you can access your money at any time. We do ask that you notify us if you plan on taking money out of your account so that we can adjust your portfolio accordingly.

5. How do I track performance of my managed account?
Each month you will receive a statement from your futures commission merchant detailing your trades for the month, along with the beginning and ending value.

6. Can I use retirement funds in a managed account?
Yes. To do so, you will need to open an IRA account with a custodial firm who allows managed futures accounts in addition to an account at a futures commission merchant. Please contact us if you are interested in an IRA account and we can refer you to a custodial firm.

7. Are there any tax benefits to investing in managed futures?
Trading futures (including managed futures) is taxed at a lower rate than trading the stock market. Futures are taxed at a rate of 40% long term gains and 60% short term gains whereas stocks that are sold within a year are considered 100% short term gains. Consult your tax advisor to determine how these potential benefits could affect you.

8. What markets does Kingsview Management focus on?
Kingsview Management primarily focuses on S&P 500 futures. We feel very strongly that managers should stick to trading the markets they know and are experienced in. We have many years of experience trading S&P 500 futures and have been successful in that market in a variety of market conditions. Concentrating assets in one particular futures contract with a lack of diversification may increase the risk of investing in this program, even though the S & P 500 in itself contains a basket of securities as the underlying asset.