Posts By Eric
Arguably, the most important commodity in the world today is crude oil. The product and its derivatives made their way into virtually every application of modern life from transportation to plastics. This vital commodity also dominates politics in many parts of the world and ensures that some top producing nations have outsized influence on the world stage. In light of this, many might assume that most investors know everything about the product and how it trades around the globe. However, that is not the case, as there are several misconceptions about the various types of oil and how this commodity is priced [see also USA Oil Reserves: The World’s Largest?].
This article originally appeared on ETFdb.com ProShares, the largest issuer of geared ETFs that has made a push into the alternatives space, adding two more products to its lineup late last week. The new Ultra DJ-UBS Natural Gas (BOIL) and UltraShort DJ-UBS Natural Gas (KOLD) are both linked to the Dow Jones-UBS Natural Gas Subindex, a benchmark that consists of natural gas futures contracts. BOIL will seek to deliver daily results that correspond to 200% of the change in the underlying index, while KOLD will target -200% of the daily returns of the benchmark. With the launch of the two new products ProShares now offers ten leveraged commodity funds, including ETFs linked to gold (UGL, GLL), silver (AGQ, ZSL), crude oil (UCO, SCO), and a broad basket of natural resource futures (UCD, CMD). “There has been strong demand for geared commodity ETFs, as investors have come to recognize the importance … See the full story here
This article originally appeared on ETFdb.com Van Eck, the New York-based ETF issuer best known for its hard asset and country specific funds such as the Gold Miners ETF (GDX) and the Market Vectors Russia ETF (RSX), announced further expansion in the commodity space with plans for an ‘Unconventional Oil & Gas ETF’. If approved, the fund will mark the 41st product from the rapidly growing ETF giant and could help the company grow its assets in the oil space, one of the few areas in which Van Eck’s current lineup is lacking. While many details were not yet released in the SEC filing, expense ratio and ticker symbol are still unavailable, we have highlighted some of the key points from the filing below:
This article originally appeared on ETFdb.com Teucrium, the company behind the first corn ETF and innovative energy commodity products, doubled the size of its product lineup on Monday with the launch of three new single-commodity funds. Two of the new additions to the fast-growing ETF lineup are first-to-market concepts, while a third will offer exposure to a soft commodity already covered by two iPath ETNs. The new Teucrium products are:
In the world of commodity investing gurus, few can match the track record or fame of Jim Rogers. The investment legend is probably best known for his work with George Soros in creating the Quantum fund, but Rogers has been more active in the commodity space as of late with the creation of several indexes and a book on the subject as well. Lately, Jim Rogers has been on the precious metal bandwagon, pushing many investors to buy up these products to defend against further dollar weakness and fiat currency debasement by central bankers around the world. Yet, with gold hitting fresh highs on a seemingly weekly basis, Rogers has begun to advocate for investors to look to other corners of the investing world for gains in the future [see also Jim Rogers Says: Buy Commodities Now, Or You’ll Hate Yourself Later].
Daily Commodity Roundup: Sugar Continues Slide On Brazilian Crop, Orange Juice Rises On Florida Weather
American markets tumbled in Thursday trading as the second day of Fed Chairman Ben Bernanke’s testimony weighed on U.S. equities. In the report, Bernanke seemed to quell any notion of stimulus in the near future, suggesting that the economic situation will have to deteriorate further if another round of QE is in the cards. Industrial goods, services, and tech were all big losers on the day while health care and consumer companies managed to rise above the overall market to close the session. In international markets, Asia started the day mixed as Chinese and Indian benchmarks rose, but Australia and Japan both fell, leaving the region pretty much flat overall. European markets, however, were down across the board as pretty much all the benchmarks on the continent lost about 1% in the day’s trading.