Commodity ETF is “fastest” growing in five years

A commodity ETF launched by Source has become the fastest growing product of its kind in Europe over the past five years, the firm said.

The Source Bloomberg Commodity Ucits ETF launched on January 16 has had inflows of $925 million ($857 million).

The firm based the claim on Bloomberg data and says the ETF is also the fastest growing product for the firm ever. 

Source described commodities as having “rebounded strongly” in 2016 and said the fund’s benchmark – the Bloomberg Commodity Index – returned 12%.

But the firm puts the ETF’s success down to charges, saying it has the lowest costs of any broad commodities ETF, with a total cost of 0.40% per annum. According to Source this is half the price of a similar product.

Chris Mellor, Source’s executive director, product management, said the ETF’s growth reflected that investors have been “crying out” for a more “competitively priced, simple commodity ETF”.

©2017 funds europe

HAVE YOU READ?

THOUGHT LEADERSHIP

The tension between urgency and inaction will continue to influence sustainability discussions in 2024, as reflected in the trends report from S&P Global.
FIND OUT MORE
This white paper outlines key challenges impeding the growth of private markets and explores how technological innovation can provide solutions to unlock access to private market funds for a growing…
DOWNLOAD NOW

CLOUD DATA PLATFORMS

Luxembourg is one of the world’s premiere centres for cross-border distribution of investment funds. Read our special regional coverage, coinciding with the annual ALFI European Asset Management Conference.
READ MORE

PRIVATE MARKETS FUND ADMIN REPORT

Private_Markets_Fund_Admin_Report

LATEST PODCAST