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When it comes to your managed futures investments, you may have wondered how a CTA is able to ensure that all their clients have the same rate of return from month to month. Unlike a fund investment, when investing through a separately managed account, CTAs must ensure that all of their clients receive the exact same price for all of their trades. How can a CTA that has to do hundreds of future contracts, while the market may be moving rapidly, ensure that they execute all their orders at the same price? The answer is that they can’t. However, the APS pricing system is used to guarantee that all clients are receiving the exact same trade price.
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