Locorr Futures Portfolio Fund Reports Higher Expenses and Net Loss Despite Revenue Growth
While the fund saw an increase in total income, rising fees and trading costs weighed heavily on performance.
April 02, 2025
Locorr Futures Portfolio Fund Posts Full-Year Results, Revealing Mounting Costs and Net Loss
Locorr Futures Portfolio Fund just released its year-end results for 2024, and the numbers tell a clear story: revenue climbed, but so did costs—and those expenses ultimately dragged performance into negative territory.
The fund brought in $11.1 million in total income, nearly doubling what it earned in 2023. A combination of stronger trading results and higher interest income helped fuel that growth. But rising income didn’t translate to positive net performance. As trading volume grew, so did commissions and management fees. Fees and commissions alone totaled more than $14 million, outpacing income and pushing the fund to a net loss of $678,000.
Despite the drag from costs, the fund’s total net assets inched upward to $57.7 million by the end of the year, up from $56.6 million. Investors added $15 million in capital over the year, with $13.9 million in withdrawals—keeping the capital base relatively steady. But after accounting for expenses, operations still resulted in a $672,000 hit to fund value.
Trading gains, both realized and unrealized, came in strong at $10.8 million. That momentum, however, couldn’t offset a growing expense base. Operating costs excluding performance fees hit nearly $1.5 million, adding to the pressure on returns.
Diversified CTA Allocation Continues
Locorr’s approach relies on a diversified group of commodity trading advisors (CTAs), with allocations managed across 11 firms during the year—including Quantica, Systematica, and Winton. These allocations shifted throughout the year based on performance and strategy updates, with three CTAs removed from the lineup.
Regulatory Compliance and Risk Outlook
All trading stayed within U.S.-based exchanges, with the fund continuing to meet its regulatory obligations. There were no legal proceedings during the reporting period, but the fund highlighted ongoing risks around market volatility, liquidity, and the complexity of managing CTA portfolios.
Looking Ahead
Looking forward, the fund plans to stay the course with its dynamic CTA allocation strategy. That means continuing to balance opportunity and risk while closely monitoring performance and cost impacts. Key service providers—including the general partner, clearing broker, and independent auditor—remained unchanged.
In a market where expenses can shift as quickly as opportunities emerge, Locorr’s year-end results show the importance of keeping a close eye on both sides of the balance sheet. The strategy is intact, but the cost structure will be a critical factor to watch moving ahead.
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