How the numerous commodity ETFs which have sprung onto the scene the past few years are tracking a simple strategy of just buying the December futures market of that commodity, under the theory that the ETF will have to roll their positions periodically throughout the year, and in doing so take on costs the simple strategy does not have.
Category: Markets
22
Jul
2015
An Alternative Way to view Diversification
One of the many ways to look at diversification over the past 15 years. Have you called the winners each year?
09
Jul
2015
2015 Halftime (Midyear) Asset Class Scoreboard
All but one of the eight asset classes we track month to month ended June in the red.
07
Jul
2015
Infographic: 7 Traditional vs 7 Alternative Assets in 5 Bear Markets
Introducing an infographic looking at 14 different asset classes performing during 5 different crisis periods over the past 20 years, thanks to our newly found graphic designer, which came as part of our merger with RCM.
30
Jun
2015
Rain Makes Grains (Die?)
Forget what’s happing halfway around the world in Greece, we’ve got a storm brewing here in the heartland of America, in the grain markets. One quick look at the Finviz quote table, and we can see grains are as a green as the commodities they represent.
26
May
2015
Wall St. Sucks at Predicting Interest Rates, and so does Everyone Else
Raise your hand if you’ve been waiting, and waiting, and waiting for interest rates to finally rise.
18
May
2015
Futures vs ETFs 4 Months In
If you’ve been paying attention to the futures markets recently, you know that crude oil has rallied. Not back to the $100 range, but a 20% bounce from it’s low.
13
May
2015
Alternative Links: Bomb Bonds
Bond Market Meltdown Deconstructed: Five Charts That Explain Why
07
Apr
2015
Asset Class Scoreboard Q1
The first quarter of 2015 is in the books and Managed Futures is leading the pack so far YTD of the 8 asset classes we track {Disclaimer: Past performance is not necessarily indicative of future results}. It will be interesting to see how the next three quarters play out.
16
Feb
2015
Different Exposure, Different Price
Long Only Commodities as an asset class has been plummeting since around April last year, and the downtrend continues into 2015. The average move of commodity futures in January came out to be -5.02%, compared to ETFs -7.54%, with ETFs underperforming the futures markets they supposedly track by 2.52% {Past performance is not necessarily indicative […]
