Over the past month, certain corners of the commodity market have managed to claw their way back from steep declines; oil, gold, sugar, and copper have all posted solid gains in recent weeks.
Below, we take a look at five of the best performing Commodity ETFs year-to-date, a few of which were the worst performers earlier in the year.
The Best Performing Commodity ETFs
1. Gartman Gold/Euro ETF (GEUR)
This AdvisorShare’s actively-managed fund offers investors an alternative method to invest in gold by financing gold purchases with euros instead of the U.S. dollar. The fund is relatively new, launching in February of 2014. Since inception, GEUR has traded in a relatively narrow range from $12.34 to $13.40 per share. In January alone, however, the fund rallied 17.24%, reaching an all-time high of about $14.55 per share. The reason why this fund has performed so well is because the euro spot price of gold has increased significantly year-to-date, in part due to the euro depreciating to a 12-year low.
2. Pure Beta Lead ETN (LEDD)
This fund invests in a single lead futures contract (except during roll periods), and has gained over 8.8% year-to-date. Over the trailing 4-week period, LEDD has popped 18%, reaching a YTD high of $35.32 per share in mid April. However, to put things into perspective, the fund is very thinly traded and currently holds a 200-day volatility of 39.11% and a 5-day volatility of almost 75%.
3. United States Gasoline Fund LP (UGA)
This popular fund, which tracks near-month RBOB gasoline contracts, is up about 8.5% year-to-date. Over the trailing 1-year period, however, UGA has shed over 40%, right alongside crude oil’s steep decent. But, with oil prices staging somewhat of a rebound, gasoline has managed to gain a bit of traction since the beginning of this year. After reaching its bottom of about $29.45 in mid-January, UGA’s price has risen roughly $10. The fund’s 20-day average is currently $36.17.
4. United States Diesel Heating Oil Fund (UHN)
Tracking near-month heating oil futures contract, UHN has gained roughly 7.3% year-to-date. Like UGA, UHN has also taken a steep hit over the trailing 1-year period, falling roughly 31.6%. Since bottoming in January, at about $18.91 per share, the fund has risen to about $23 a share, an uptick of about 19%. The fund, however, is still well below its 52-week high of $34.65.
5. Dow Jones-UBS Cotton Total Return Sub-Index ETN (BAL)
Like LEDD, this ETN consists of just one cotton futures contract (except during roll periods). BAL is up 3.8% year-to-date. The fund peaked in early April of this year at about $45.52 per share. BAL is still about 27% off its 52-week high of $58.82. The fund’s 20-day average is currently $43.67.
Disclosure: No positions at time of writing.