Managed futures & implicit leverage

From page 299 of Kaplan Schweser Level 2 CAIA Book 1 ’ CTAs will set aside additional cash, so the realized leverage factor is less than the initial margin implies. Even so, substantial implicit leverage is obtained in futures markets. Therefore managed futures funds are not as dependent on borrowed funds as other hedge funds’. My question is: Can’t hedge funds also set aside extra funds (from investors money) so that they are also less dependent on borrowed funds as other hedge funds? If this does not make sense could someone please explain the above?

Hedge funds could set aside extra cash and be less dependent on borrowed funds but they won’t. They won’t by choice b/c they are trying to magnify return from money they don’t have by using leverage. Plus if they set aside cash from investors, their return on cash from investors will look pretty bad since they are not investing but sitting on cash and charging high fees to do nothing with the money. Managed future funds may not have the same pressure or strategy.

Thanks Nep-hi. Your answer clears my doubts