Commodity ETPs can be extremely powerful tools for tapping into an asset class capable of providing both return enhancement and diversification benefits. With dozens of products available–there are more than 120 U.S.-listed commodity ETFs according to the ETF screener–picking the right fund for your investment objectives and risk tolerances can be challenging. Beyond the type of commodity included, there can be several attributes of commodity ETPs that shape the risk/return profile; below, we look at five factors to consider when trying to narrow down the universe and find the right commodity ETF (or ETN): [click to continue…]
In many instances, ETFs have allowed more active investors to change their strategy for allocating assets and alter the manner in which they seek to generate alpha. Instead of seeking to identify undervalued companies through detailed analysis of financial statements, many now implement a more high level approach that includes identifying sectors, regions, or even [...]
The incredible growth in ETF assets in recent years has come not from the equity corner of the investable asset universe, but from an asset class that generally receives a very minor allocation in long-term portfolios (if any at all). Cash inflows into commodity ETFs in the first half of the year topped $18 billion, [...]
It’s been an interesting week in the world of ETFs: The unemployment rate moved up to 9.8% and Rio De Janeiro won the 2016 Summer Olympics over Chicago. Here are the ETF Database staff picks of the week’s most important and interesting stories from around the Web:
Barclays Global Investors announced yesterday that it has temporarily suspended the creation of new shares of the iShares S&P GSCI Commodity-Indexed Trust (GSG). “We’ve taken this temporary step to protect existing investors from being adversely affected by market reaction to proposed new regulations of commodity futures that have created uncertainty,” said Michael Latham, co-CEO of [...]
