Currency Traders Struggle as CTAs Continue Solid Start

CTAs generally continued a solid start to the year, however April was a tough month for currency managers, with the sector’s index being one of only two Barclayhedge sub-indices to see a decline in the month.

The Barclay CTA Index was +1.47% in April with 85% of managers reporting results, this brings the year-to-date performance to +6%. Best performing sub-index was the Cryptocurrency Traders Index, which benefits from a rise in crypto prices to return 3.8% on the month – year-to-date, however, it remains in the red at -7.1%, the worst performing sector.

The Currency Traders Index is also down on the year at -1.07%, thanks to a tough April, the index ending -1.29%, as is the Agri Traders Index, which also lost money in April at -0.64% for -0.74% year-to-date.

At the more positive end of the spectrum, the Diversified Traders Index was +1.91% (for +9.28% year-to-date), this is the second best performing index, with the MPI Barclay Elite Systematic Traders Index, which seeks to capture the average return of the 20 largest systematic traders, leading the way at +9.28% after returning 2.03% in April.

Systematic traders continue to fractionally outperform their discretionary peers, in April the Systematic Traders Index was +1.73% (+6.04% year-to-date), while the Discretionary Traders Index was +0.92% (+5.61%).

The BTOP50 Index, which seeks to replicate the overall composition of the managed futures industry with regard to trading style and overall market exposure, was an estimated +1.92% in April, bringing the year-to-date return to +9.33%.