Commodity Based Index Funds

The Deutsche Bank Commodity index tracking fund is the only kind of fund that is being traded in the United States Market. Perhaps it is the only available fund too in the current market scenario.



There are several kinds of commodity indexes and an average investor cannot invest in them directly. Usually these indices require an investment of hundred thousand dollars or more.

Some of the other commodity based index funds are Goldman Sachs, Commodities Research Bureau, AIG commodity index, Oppenheimer Real Asset funds and a few more. The oldest commodity based index fund is the Reuters Future Index and the main components included in this index are all equally weighted ones. It is quite difficult to study a commodities index. Until now this index was widely followed until it got a make over recently.

The other kind of commodity index which was being widely followed is the Dow Jones-AIG Commodity Index. However nearly 12 percent of the commodities listed in the index are companies that are not listed in the United States and not even Asia. This could mean that rice has not been included as a commodity.

The Goldman Sachs Commodity Index takes the world production values into consideration and averages it out on a five year basis. So the commodity index basically gives more values to the commodities that have gone up in price.

The Rogers International raw materials index has been the top performer for several years now and it takes into consideration 35 different commodities that are raw materials.

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