In many managed futures accounts the dollar amount traded is equal to the amount provided by the investor. However, managed futures also allows investors to leverage their investment with the use of notional funding and margin to equity. Notional funding is the difference between the amount provided by the investor (funding level) and the mutually agreed upon amount to be traded (trading level).
Managed futures have historically displayed very low correlations to traditional investments, such as stocks and bonds. Following modern portfolio theory, this lack of correlation may build a robustportfolio.