Parametric Portfolio Associates, a subsidiary of Eaton Vance, has launched the Parametric Structured Commodity Strategy Fund, a non-diversified, open-end mutual fund aimed at institutional, family office and registered investment advisors that will invest primarily in commodities-linked derivatives backed by portfolio of fixed income securities.
Parametric Chief Investment Officer David Stein and Managing Director Thomas Seto will co-manage the fund.
The fund takes a top-down, disciplined and structured investment process to invest broadly among individual commodities and commodity sectors, based on volatility, liquidity, diversification, perceived risk and potential benefit.
“Major commodities benchmarks and many active strategies within the category are heavily concentrated in particular commodity groups,” said Timothy Atwill, director of research and strategy at Parametric. “Relative to other commodity investment strategies, we seek to enhance risk-adjusted returns through reweighting and rebalancing to take advantage of diversification, correlation and volatility.”