Overview
Description
The NB Commodity Strategy ETF is an exchange-traded fund designed to provide investors with exposure to a diversified basket of commodity futures. It employs a strategy that seeks to capture returns from the price movements of underlying commodities such as energy, agriculture, and metals, without holding the physical commodities themselves. The purpose of this fund is to offer a convenient and liquid vehicle for investors looking to hedge inflation risks or diversify their portfolios with commodities, which often have low correlations to traditional assets like stocks and bonds.
A notable feature of this ETF is its strategic use of derivatives to mimic the performance of the commodities market. This approach typically involves the active management of futures contracts to optimize returns and manage risks such as contango and backwardation effects. As commodities can significantly impact various sectors, including manufacturing, agriculture, and energy, the NB Commodity Strategy ETF plays a crucial role in offering investors exposure to global economic dynamics. It serves as a key tool for portfolio diversification, making it a significant player in the commodities investment landscape.
About
Address
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Phone
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Website
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Instrument type
ETF
Country
United States
MIC code
ARCX