ETF provides currency-hedged access to the CMCI commodity index..
Sign up for our weekly Newsletter and receive the latest ETF and ETC news. Click here to register for your free copy
A new exchange-listed commodity index fund from the UBS Global Asset Management product range has been tradable in Deutsche Börse’s XTF segment since Monday.
ETF name: UBS ETFs plc – CMCI Composite SF UCITS ETF (GBP) A-acc
Asset class: commodity index ETF
Total expense ratio: 0.45 percent
Distribution policy: accumulating
Benchmark: UBS Bloomberg CMCI hedged to GBP TR Index
Trading currency: British pound
The new UBS ETF from the Constant Maturity Commodity Index (CMCI) index series enables investors to participate in the performance of 28 commodity contracts with up to seven different maturities while also benefiting from a hedge against fluctuations in the GBP/USD exchange rate. This covers the entire yield curve and minimises negative roll effects.
The weighting of the five commodities sectors included in the CMCI – energy, precious and industrial metals, agriculture and livestock – is based two thirds on economic factors (rate of inflation as well as GDP of the US, EU and Japan) and one third on liquidity (open interest and market volume).
The product offering in Deutsche Börse’s XTF segment currently comprises a total of 1,063 exchange traded funds. This selection, together with an average monthly trading volume of around €11 billion, makes Xetra Europe’s leading trading venue for ETFs.