I think this is the beginnings of an economy based on perpetual growth and fossil fuel energy running headlong into geological energy constraints. Basically I see an undulatory downward path for the rest of my life. From here out, I think any rallies in our economic condition are going to be met with spiking commodity prices that knock us right back down.
Posted: Mon Feb 06, 2006 12:22 pm Post subject: New Commodities Index ETF by Deutsche Bank
I'm very excited about this. The EFT just opened up on Friday 2/3.
The Deutsche Bank Commodity Index Tracking Fund (DBC) which listed on the American Stock Exchange on Friday, ended its first day of trading up 40 cents, or 1.7%, at $24.50.
The ETF uses futures contracts to mirror the performance of the Deutsche Bank Liquid Commodity Index, which is tied to crude oil, heating oil, gold, aluminum, corn and wheat.
The Deutsche Bank tracking index has base weights of 35% crude oil, 20% heating oil, 12.5% aluminum, 10% gold, and 11.25% each in corn and wheat. The index is rebalanced each November.
Posted: Mon Feb 06, 2006 2:52 pm Post subject: Re: New Commodities Index ETF by Deutsche Bank
This is a good vehicle for the vast majority of folks who do not have the ability to trade actual futures. It is something a middle class american can buy with an IRA or 401k account. _________________ "The world is changed... I feel it in the water... I feel it in the earth... I smell it in the air... Much that once was, is lost..." - Galadriel
Joined: Oct 23, 2004 Posts: 5928 Location: New Jersey
Posted: Mon Feb 06, 2006 3:35 pm Post subject: Re: New Commodities Index ETF by Deutsche Bank
Yes, these are allowed into individual retirement plans - but be mindful if they are not in an IRA, 401k, etc., they will be treated as commodities for US tax purposes.
More at link:
Quote:
Here Come the Energy Exchange Traded Funds (ETFs)
by Charles Mackay, Friday February 03 2006
We are now more than three years into an energy bull market. It's therefore not surprising energy related investments are attracting more interest from investors. On Friday, February 3, one such new type of investment vehicle, DB Commodity Index Tracking Fund (DBC) will start trading on the American Stock Exchange.
The DB Commodity Index Tracking Fund (DBC) is not the first commodity ETF (Exchange Traded Fund) in the US, but the first with a majority of its holdings - 55% - in energy. DBC was preceded by the successful launch of two gold ETFs (GLD and IAU), a Euro currency ETF (FXE), and other similar single and multiple commodity ETFs in other countries. And unlike the gold ETFs, which hold gold bullion, the DB Commodity Index Tracking Fund will own commodity futures contracts – and not the physical commodity.
Posted: Wed Feb 08, 2006 7:55 am Post subject: Re: New Commodities Index ETF by Deutsche Bank
Thanks for the head's up. DantesPeak had sent me the link already, but nice to see it it off to a good start. Mind you with the rubbing the CRB Index has taken this past day, I would not be surprised to see it back at 300/320 this week. Take care. _________________ The organized state is a wonderful invention whereby everyone can live at someone else's expense.
You cannot post new topics in this forum You cannot reply to topics in this forum You cannot edit your posts in this forum You cannot delete your posts in this forum You cannot vote in polls in this forum
News
Discussions
Resources
Members
Forum FAQ
Search
Usergroups
Profile
Log in to check your private messages
Log in
