Advances in trading technologies have opened new derivatives markets which have led to the rapid introduction of new products, which spurred growth in overall derivatives trading volumes. New asset classes helped keep industry profit margins high; the average industry profit margin is estimated to be quite high compared with other industries in the financial markets sector.
Commodities are standardized products traded around the world. The largest commodity brokers trade on a range of global exchanges. There are some significant overseas operators active on US exchanges and over-the-counter (OTC) markets.
The company envisions that it will generate income through the trading of undervalued commodities across all sectors. The company’s goal is to generate above-industry-average rates of return for its investors by identifying and acquiring undervalued commodity assets through their strategic insight, operational support, and global relationships and adding value through technical support, storage and transportation, and value-added processing.
ACL’s investment strategy is compromised of the provision of supply and offtake agreements, relative arbitrage transactions, acquisition and optimization of undervalued commodity assets, commodity hedging strategies, mechanical trading strategies, diversified strategies, single sector strategies, slippage controls and discretionary strategies.