Seattle-headquartered Parametric Portfolio Associates is launching the Parametric Structured Commodity Strategy Fund, a non-diversified, open-ended mutual fund aimed at the institutional, family office and registered investment advisor markets.

The fund will be managed by David Stein, Parametric’s chief investment officer, and Thomas Seto, managing director.

It will seek exposure to commodities-linked derivative instruments backed by a portfolio of fixed-income securities, using a top-down, rules-based strategy that incorporates targeted asset allocations and rebalancing.

Exposure to various commodities will be selected based on their volatility, liquidity, diversification properties, and perceived risk and potential benefit. The frequency of rebalancing will vary with changes in the correlation between, and volatility of, individual commodities, according to the firm.

The fund is distributed by Eaton Vance Distributors.

A subsidiary of Eaton Vance, Parametric and its affiliate, Parametric Risk Advisors, managed $42.6 billion in client assets as at 30 April 2011.