ETF of the Week: KFA Mount Lucas Index Strategy ETF (KMLM)

VettaFi’s vice chairman Tom Lydon discussed theKFA Mount Lucas Index Strategy ETF (KMLM) on this week’s “ETF of the Week” podcast with Chuck Jaffe of “Money Life.”

Alternatives have become an attractive option for many advisors and investors in an environment where both bonds and equities are challenged. Managed futures funds have offered returns during the prolonged period of market volatility and have become a popular option within alts. 

KFA Funds, a KraneShares company, invests in futures contracts within commodities, currencies, and global fixed income.  

KMLM offer possible hedges for equity, bond, and commodity risk and has demonstrated a negative correlation to both equities and bonds in bull and bear markets.