Sentences with phrase «returns of the commodity futures contracts»

This analysis compares the returns of the largest commodity ETFs to the returns of the commodity futures contracts represented in each ETF.

Not exact matches

It currently consists of one futures contract on sugar that is included in the Bloomberg Commodity Index Total Return.

An ETF that employs a basic strategy of investing in the front - month futures contract of a given commodity, for example, will either see its returns decrease in the case of contango, or increase in the case of backwardation.

The steeper the contango, the worse the relative return on the rolling futures contracts compared to the spot price of the commodity.

With futures contracts showing higher returns and comparable or lower risks to ETFs, the case surely can be made that commodity investors may be well - served by holding commodity futures contracts instead of ETFs.

Using daily and monthly futures index levels and contract prices for the 24 commodities in the S&P GSCI as available during January 1979 through June 2012, along with contemporaneous returns for a broad sample of U.S. stocks, they find that: Keep Reading

This paper asks some critical questions of the concept of commodities as an asset class, noting that, historically, futures contracts have been an inconsistent hedge against inflation, and the historically high average returns of commodity futures portfolios were driven largely by choice of weighting schemes.

All of the PowerShares DB Crude Oil ETNs are based on a total return version of the Deutsche Bank Liquid Commodity Index — Oil, which is designed to reflect the performance of certain crude oil futures contracts plus the returns from investing in 3 month United States Treaury Bills.

The purchased commodity will usually be obtained at a good price, while the commodity sold will earn a good return on investment that covers the cost of the commodity futures contract.

Its performance (before expenses) is designed to correspond with the returns of the S&P Goldman Sachs Commodity Index GSCI, which is comprised of 24 different commodity futures cCommodity Index GSCI, which is comprised of 24 different commodity futures ccommodity futures contracts.

The Dow Jones - UBS Commodity Index Total Return Service Mark (the «Index») reflects the returns that are potentially available through an unleveraged investment in the futures contracts on physical commodities comprising the Index plus the rate of interest that could be earned on cash collateral invested in specified Treasury Bills.

The DJ - UBS Commodity Index Total Return measures the collateralized returns from a basket of 19 commodity futures contracts representing the energy, precious metals, industrial metals, grains, softs and livestockCommodity Index Total Return measures the collateralized returns from a basket of 19 commodity futures contracts representing the energy, precious metals, industrial metals, grains, softs and livestockcommodity futures contracts representing the energy, precious metals, industrial metals, grains, softs and livestock sectors.

By definition, total return versions of commodity indices, such as the DJ - UBS CI and the S&P GSCI ®, that incorporate the returns of the excess return (ER) plus the Treasury Bill Return are positively impacted by rising interest rates which earn interest on the collateral of the futures contreturn versions of commodity indices, such as the DJ - UBS CI and the S&P GSCI ®, that incorporate the returns of the excess return (ER) plus the Treasury Bill Return are positively impacted by rising interest rates which earn interest on the collateral of the futures contreturn (ER) plus the Treasury Bill Return are positively impacted by rising interest rates which earn interest on the collateral of the futures contReturn are positively impacted by rising interest rates which earn interest on the collateral of the futures contracts.

The Index reflects the returns that are potentially available through an unleveraged investment in futures contract on physical commodities comprising the Index plus the rate of interest that could be earned on cash collateral invested in specified Treasury Bills.