(1) For small and medium-sized investors, futures investment funds provide them with a way to enter the futures market. Futures investment funds have the dual characteristics of futures trading and funds. Small and medium-sized investors can enjoy the dual advantages of futures trading and fund management by entering the futures market through futures funds.
(2) For institutional investors, futures investment funds provide them with an excellent tool to improve and optimize their portfolios. The more important function of futures investment fund is to improve and optimize the traditional investment portfolio, which is of great significance to institutional investors.
(3) For traditional investors, futures investment funds provide them with alternative investment channels to avoid stock market risks. Because of its special margin trading system and risk amplification mechanism, futures investment is much more risky than stock and bond investment in the eyes of traditional investors, so people often think that futures investment funds are also more risky than securities funds. This is true for individual investors, but it is a misunderstanding for futures investment funds. In addition, more importantly, because the correlation between futures investment and stock investment is zero or even negative, when the stock market falls sharply due to systemic risks, futures investment funds in the same period are not affected or even perform poorly. In this way, futures funds will become an excellent investment tool for large funds to avoid stock market risks.
(d) For prudent investors, futures investment funds provide the possibility for them to spread risks around the world.
The establishment of the global futures exchange and the corresponding increase in the number of active futures contracts enable futures investment fund managers to diversify their portfolios according to varieties and regions.