Product Detail Invesco DB Agriculture Fund
Therefore, it’s highly unlikely that the secular bull market ended in 2008. However, if in fact the bull market ended in 2008, it will be one of the shortest secular commodity bull markets of the past 200 years. The PowerShares family of exchange traded funds (managed by Invesco PLC) introduced the DB Agriculture Fund on 5 January 2007, using the ticker symbol DBA. Instead, the fund is composed entirely of food and grain futures contracts.
- If this service is available and used, dividend distributions of both income and realized gains will be automatically reinvested in additional whole shares of the fund purchased in the secondary market.
- Because these three sectors are heavily related to fluctuations within the global economy.
- From a historical perspective, the recent bear market was fairly normal in terms of percentage decline.
The «A+ Metric Rated ETF» field, available to ETF Database Pro members, shows the ETF in the Agricultural Commodities with the highest Metric Realtime Rating for each individual field. To view all of this data, sign up for a free 14-day trial for ETF Database Pro. To view information on how the ETF Database Realtime Ratings work, click here. Distributions in cash may be reinvested automatically in additional whole shares of the fund only if the broker through whom you purchased shares makes such option available. Shareholders of the fund may contact their broker to determine the availability and costs of the service and the details of participation.
OTC Markets Group
Our team at ETF Database is committed to making our website the premier source of information on ETF investing with the world’s highest quality ETF tools, content, and resources. The following charts reflect the allocation forex trading books for beginners of
underlying holdings. The following charts reflect the geographic spread of
underlying holdings. View charts that break down the influence that fund flows and price had on overall assets.
Specifically, DBA is invested in ten different commodities. The top five commodities include wheat, soybeans, corn, live cattle and sugar. Essentially, investors are placing a speculative wager on an increase in commodity prices. Fund distributions
Dividends from net investment income, if any, are declared and paid either annually, quarterly or monthly, depending on the Fund. For funds on an annual dividend payment cycle, the dividend ex-date is the next business day following the third Friday of December, payable the last business day of the year. For funds on a quarterly dividend payment cycle, the dividend ex-date is the next business day following the third Friday of each March, June, September and December, payable the last business day of the month.
BRIEF OVERVIEW – DBA ETF
Smart beta funds may underperform cap-weighted benchmarks and increase portfolio risk. While it is not Invesco Invesco Capital Management LLC intention, there is
no guarantee that the Funds will not distribute capital gains to its
shareholders. Due to specific provisions of the Internal Revenue Code, an «in-kind»
redemption does not result in a taxable realized gain or loss to the ETF. Thus, this structure may create a meaningfully different after-tax return
experience between an ETF and another type of investment vehicle — even if
both track the same index. ETFs work directly with authorized participants (APs) which are typically
large institutions to create and redeem existing fund shares typically
through an «in-kind» process.
Commodity Roundup: Gold, oil trade in green as markets contemplate end of U.S. rate hikes
Your request has been identified as part of a network of automated tools outside of the acceptable policy and will be managed until action is taken to declare your traffic. The investment seeks to track the price and yield performance before fees and expenses of the Deutsche Bank Liquid Commodity Index – Optimum Yield Agriculture Excess Return. Commodities lru cache in python using ordereddict and futures generally are volatile and are not suitable for all investors. To ensure our website performs well for all users, the SEC monitors the frequency of requests for SEC.gov content to ensure automated searches do not impact the ability of others to access SEC.gov content. We reserve the right to block IP addresses that submit excessive requests.
index–based and actively managed ETFs are subject to risk similar to stocks,
including those related to short selling and margin maintenance. MacroVar monitors global financial markets and economies using advanced Data Analytics. Sign up Free to manage your investments, trading & business strategy using MacroVar data analytics tools and historical data access. The DBIQ Diversified Agriculture Index Excess Return Index is a rules-based index composed of futures contracts on some of the most liquid and widely traded agricultural commodities. It is intended to reflect the performance of the agricultural sector.
A long-running debate in asset allocation circles is how much of a portfolio an investor should… The Fund is speculative and involves a high degree of risk. An investor may lose all or substantially all of an investment in the Fund. Invesco and Invesco Distributors, Inc. and their affiliates do not provide
Current guidelines limit users to a total of no more than 10 requests per second, regardless of the number of machines used to submit requests. By using this site, you are agreeing to security monitoring and auditing. Get stock recommendations, portfolio guidance, and more from The Motley Fool’s premium services.
In fact, this was one of the most powerful commodity bull markets dating back to the Industrial Revolution. It was followed by a nasty bear market which began in 2012 and 2013. The adjacent table gives investors 12 best investments for any age or income an individual Realtime Rating for DBA on several different metrics, including liquidity, expenses, performance, volatility, dividend, concentration of holdings in addition to an overall rating.
The Fund and the Index are rebalanced and reconstituted annually in November. This ETF is one of the most popular options for achieving exposure to agricultural commodities; DBA invests in a diversified basket of various agricultural natural resources, and as such can be a useful diversifying agent or inflation hedge. The targeted focus of this fund makes it often more appropriate for investors looking to implement a shorter term tactical tilt, though DBA may also be useful as a component of a long-term, buy-and-hold portfolio. Those seeking more broadly-based commodities exposure may prefer funds such as DBC or DJP. Investors considering agriculture exposure should take note of the frequency with which the underlying holdings are rolled and the mix of exposure across various contracts. The tax consequences should also be noted; as an ETF, DBA will feature slightly different tax treatments than ETNs such as AGF (it also won’t expose investors to the credit risk of the issuing institution).
Distributions of net long-term capital gains, if any, in excess of net short-term capital losses are taxable as long-term capital gains, regardless of how long you have held the Shares. Dividends from net investment income, if any, are declared and paid quarterly. The Fund may also pay a special distribution at the end of the calendar year to comply with federal tax requirements. Taxes on distributions
In general, your distributions are subject to federal income tax when they are paid, whether you take them in cash or reinvest them in the Fund. The Fund is designed for investors who want a cost-effective and convenient way to invest in commodity futures. The Index is a rules-based index composed of futures contracts on some of the most liquid and widely traded agricultural commodities.
DBA Price vs Flows AUM Influence Charts
Brokers may require shareholders to adhere to specific procedures and timetables. If this service is available and used, dividend distributions of both income and realized gains will be automatically reinvested in additional whole shares of the fund purchased in the secondary market. Fund distributions
Dividends from net investment income, if any, are declared and paid quarterly. There are risks involved with investing in ETFs including possible loss of
money. Actively managed ETFs do
not necessarily seek to replicate the performance of a specified index.