The best commodity ETFs
How do I invest in a broad commodities basket?
Investing in commodities is considered risky. However, from a diversification perspective it can be interesting to invest in commodities. Especially, the historically negative correlation of commodities to stocks can improve portfolio diversification. A commodities investment is generally realised through an investment in forward or futures contracts. Commodity indices usually track a basket commodities.
There are several indices available to invest with ETFs in a broad basket of commodities. There are also subindices on single or selected commodity segments, which are usually derived from the indices mentioned. This Investment Guide will help you navigate among the peculiarities of commodity indices that vary substantially in their methodologies and ETFs that track them. It will allow you to find the most suitable ETFs for you by ranking them according to your preferences.
The best commodity ETF by 1-year fund return as of 30/11/19
1 | ComStage Commerzbank Commodity ex-Agriculture EW Index TR UCITS ETF | 4.17% | ||
2 | L&G Longer Dated All Commodities UCITS ETF | 0.22% | ||
3 | UBS ETF (IE) CMCI Composite SF UCITS ETF (USD) A-acc | -0.10% |
All commodity ETFs ranked by fund return
The largest commodity ETF by fund size in CHF
1 | iShares Diversified Commodity Swap UCITS ETF | 1,470 m | ||
2 | L&G Longer Dated All Commodities UCITS ETF | 541 m | ||
3 | Lyxor Commodities Thomson Reuters/CoreCommodity CRB TR UCITS ETF Acc | 505 m |
All commodity ETFs ranked by fund size
The cheapest commodity ETF by total expense ratio
All commodity ETFs ranked by total expense ratio
Commodity indices compared
Diversification of the most important commodity indices
Source: justETF Research; Strategic weights of the single commodity segments or [1] current weights as of 30/09/2019 respectively 29/10/2019
Methodologies of the most important commodity indices
Bloomberg Commodity | Commerzbank Commodity ex-Agriculture EW | Rogers International Commodity (RICI) | |
---|---|---|---|
Number of ETFs | 3 ETFs | 1 ETF | 1 ETF |
Number of commodities | 23 | 12 | 38 |
Index review | annually | semi-annually | annually |
Selection criteria | Economic significance (production), diversification, continuity and liquidity | Liquidity and importance | Global consumption and liquidity |
Index weighting | 1/3 production 2/3 liquidity |
Equal weight | Global consumption (reviewed by the RICI committee) |
Cap on single commodity | 15% | 8.33% | - |
Cap on commodities segment | 33% | - | - |
S&P GSCI© Energy & Metals Capped Commodity 35/20 | Thomson Reuters/ CoreCommodity CRB | UBS Bloomberg CMCI | |
---|---|---|---|
Number of ETFs | 1 ETF | 1 ETF | 1 ETF |
Number of commodities | 13 | 19 | 29 |
Index review | annually | monthly | monthly |
Selection criteria | Global production (last 5 years) | Liquidity and importance (reviewed by a committee) | Fundamental factors and liquidity |
Index weighting | Global production | Grouped by liquidity and equally weighted in four groups | 2/3 fundamental factors 1/3 liquidity |
Cap on single commodity | 35% largest commodity 20% all others |
- | 35% largest commodity 20% all others |
Cap on commodities segment | - | - | - |
Source: justETF Research; As of 19/10/2019
Performance of the commodity indices in comparison

Bloomberg Commodity Index
The Bloomberg Commodity Index (previously: Dow Jones UBS Commodity Index) is based on the economic significance of the commodities. Besides diversification, continuity and market liquidity are considered when weighting the index components. Currently, the Bloomberg Commodity index tracks 23 commodities from the energy, precious metals, industrial metals, livestock and agriculture segments.
Methodology of the Bloomberg Commodity Factsheet Methodology
- Broad commodities basket of 23 components
- Commodities are selected by economic significance (production), diversification, continuity and market liquidity
- Annual index review and rebalancing
- Monthly roll period
- Single commodity is capped at 15%
- Commodities segment is capped at 33%
- The index was introduced in 1998
Further subindices
Bloomberg Commodity (EUR Hedged)
Bloomberg Commodity 3 Month Forward
Commerzbank Commodity (CoCo) ex-Agriculture EW Index
The Commerzbank Commodity (CoCo) ex-Agriculture EW Index tracks the 12 most liquid and important commodities represented in the form of futures contracts. Initially all commodities are equally weighted, reviewed semi-annually.
Methodology of the Commerzbank Commodity (CoCo) ex-Agriculture EW Factsheet Methodology
- Broad commodities basket of 12 components
- Most liquid and important commodities from the energy, industrial metals and precious metals segments
- Semiannual index review and rebalancing
- Roll period is monthly
- All commodities are equally weighted
- The index was introduced in 2012
Further subindices
Commerzbank Commodity (CoCo) ex-Agriculture (EUR Hedged)
Rogers International Commodity (RICI) Index
The Rogers International Commodity (RICI) Index is a broad commodities index that tracks 38 commodities. The index composition is dependent on the global consumption and liquidity of each commodity and is reviewed by the RICI committee.
Methodology of the Rogers International Commodity (RICI) Factsheet Methodology
- Broad commodities basket of 38 components
- Index weight is rebalanced on a monthly basis
- Index selection and weighting is reviewed on an annual basis by the RICI committee
- Monthly roll period
- The index was introduced in 1998
S&P GSCI© Energy & Metals Capped Commodity 35/20 Index
The S&P GSCI® Energy & Metals Capped Commodity 35/20 Index tracks commodities from the energy and metals sector. The index weight is based on the world production. The largest commodity of the index is capped at 35% and the remaining commodity at 20% on a quarterly basis. This index is a subindex of the well-known S&P GSCI index.
Methodology of the S&P GSCI® Energy & Metals Capped Commodity 35/20 Factsheet Methodology
- Commodities basket of 13 components
- Commodities are selected and weighted by global production
- Annual index review
- Quarterly index rebalancing
- Largest commodity is capped 35% and all other commodities are capped at 20%
- Monthly roll period
- The index was introduced in 2009
Thomson Reuters/CoreCommodity CRB Index
The Thomson Reuters/CoreCommodity CRB Index is a broad commodities index that tracks 19 commodities. Dependent on their liquidity, the commodities are segmented into four groups, in which they are weighted equally. The first group contains petroleum products and is capped at 33%. The second group contains seven highly liquid commodities and is capped at 42%. The third group contains four liquid commodities capped at 20% and the last group is capped at 5%.
Methodology of the Thomson Reuters/CoreCommodity CRB Factsheet Methodology
- Commodities basket of 19 components
- Commodities are selected by liquidity, global economic significance, correlations of commodity sectors and their contribution to strategic asset allocation
- Annual index review
- Index weight is rebalanced on a monthly basis
- Monthly roll period
- The index was introduced in 1994
Further subindices
Thomson Reuters/CoreCommodity CRB Non-Energy
Thomson Reuters/CoreCommodity CRB Non-Agriculture and Livestock
UBS Bloomberg CMCI Index
The UBS Bloomberg CMCI Index tracks 29 commodities representing five broad sectors including energy, precious metals, base metals, agriculture and livestock. The index diversifies its futures across the maturity curve and thus offers constant maturities. Therewith, the index tries to minimise the risk of a negative roll yield.
Methodology of the UBS Bloomberg CMCI Factsheet Methodology
- Broad commodities basket of 29 components
- Commodities are selected by economic indicators like CPI, PPI, and GDP. Secondary factor is market liquidity.
- Largest commodity is capped at 35% and all other commodities are capped at 20%
- Constant maturity to reduce the negative roll yield
- Index is rebalanced on a monthly basis
- Daily roll period
- The index was introduced in 2007
Further subindices
UBS Bloomberg CMCI (EUR Hedged)
UBS Bloomberg CMCI Ex Agriculture Ex Livestock Capped
UBS Bloomberg CMCI Ex Agriculture Ex Livestock Capped (EUR Hedged)
Commodity ETFs in comparison
When choosing a commodity ETF one should consider several other factors in addition to the methodology of the underlying index and performance of an ETF. For better comparison, you will find a list of all commodity ETFs with details on size, cost, age, income, domicile and replication method ranked by fund size.
Compare all commodity ETFs in detail
Compare all commodity ETFs in a chart
Provider ISIN |
Fund size in m CHF |
TER in % |
Use of profits | Fund domicile | Replication method | |
---|---|---|---|---|---|---|
iShares Diversified Commodity Swap UCITS ETFIE00BDFL4P12 | 1,470 | 0.19% p.a. | Accumulating | Ireland | Unfunded swap | |
L&G Longer Dated All Commodities UCITS ETFIE00B4WPHX27 | 541 | 0.38% p.a. | Accumulating | Ireland | Unfunded swap | |
Lyxor Commodities Thomson Reuters/CoreCommodity CRB TR UCITS ETF AccLU1829218749 | 505 | 0.35% p.a. | Accumulating | Luxembourg | Unfunded swap | |
ComStage Commerzbank Commodity ex-Agriculture EW Index TR UCITS ETFLU0419741177 | 471 | 0.30% p.a. | Distributing | Luxembourg | Unfunded swap | |
UBS ETF (IE) CMCI Composite SF UCITS ETF (USD) A-accIE00B53H0131 | 343 | 0.37% p.a. | Accumulating | Ireland | Swap-based | |
iShares Diversified Commodity Swap UCITS ETF (DE)DE000A0H0728 | 310 | 0.46% p.a. | Accumulating | Germany | Unfunded swap | |
BNP Paribas Easy S&P GSCI Energy & Metals Capped Component UCITS ETF A USDLU0203243844 | 92 | 0.48% p.a. | Accumulating | Luxembourg | Unfunded swap | |
Market Access Rogers International Commodity UCITS ETFLU0249326488 | 37 | 0.70% p.a. | Accumulating | Luxembourg | Unfunded swap | |
UBS ETF (IE) Bloomberg Commodity Index SF UCITS ETF (USD) A-accIE00B5B3W843 | 20 | 0.19% p.a. | Accumulating | Ireland | Swap-based |
Source: justETF.com; As of 10/12/19
Return comparison of all commodity ETFs
The table shows the returns of all commodity ETFs in comparison. All return figures are including dividends as of month end. Besides the return the reference date on which you conduct the comparison is important. In order to find the best ETFs, you can also perform a chart comparison.
ETF | 1 month in % |
3 months in % |
6 months in % |
1 year in % |
3 years in % |
|
---|---|---|---|---|---|---|
ComStage Commerzbank Commodity ex-Agriculture EW Index TR UCITS ETF | -3.87% | -0.15% | 3.34% | 4.17% | 12.47% | |
L&G Longer Dated All Commodities UCITS ETF | -1.38% | 2.65% | -1.95% | 0.22% | -3.83% | |
UBS ETF (IE) CMCI Composite SF UCITS ETF (USD) A-acc | -0.84% | 3.81% | -2.62% | -0.10% | -1.58% | |
Lyxor Commodities Thomson Reuters/CoreCommodity CRB TR UCITS ETF Acc | -0.30% | 4.70% | -1.65% | -1.65% | -5.80% | |
Market Access Rogers International Commodity UCITS ETF | -1.51% | 2.94% | -2.77% | -2.09% | -2.63% | |
iShares Diversified Commodity Swap UCITS ETF | -2.23% | 2.11% | -2.03% | -4.36% | - | |
UBS ETF (IE) Bloomberg Commodity Index SF UCITS ETF (USD) A-acc | -2.21% | 1.82% | -2.42% | -4.67% | -8.83% | |
BNP Paribas Easy S&P GSCI Energy & Metals Capped Component UCITS ETF A USD | -2.89% | 0.20% | -2.39% | -5.20% | 0.50% | |
iShares Diversified Commodity Swap UCITS ETF (DE) | -2.52% | 1.03% | -3.14% | -5.83% | -10.29% |
ETF | 2019 in % |
2018 in % |
2017 in % |
2016 in % |
2015 in % |
|
---|---|---|---|---|---|---|
ComStage Commerzbank Commodity ex-Agriculture EW Index TR UCITS ETF | 12.36% | -8.55% | 9.42% | 23.67% | -31.53% | |
BNP Paribas Easy S&P GSCI Energy & Metals Capped Component UCITS ETF A USD | 6.81% | -11.54% | 3.96% | 21.38% | -27.30% | |
Lyxor Commodities Thomson Reuters/CoreCommodity CRB TR UCITS ETF Acc | 6.77% | -10.21% | -3.38% | 11.15% | -23.61% | |
Market Access Rogers International Commodity UCITS ETF | 5.82% | -9.38% | -0.87% | 14.15% | -26.67% | |
UBS ETF (IE) CMCI Composite SF UCITS ETF (USD) A-acc | 5.44% | -10.32% | 2.56% | 18.13% | -24.57% | |
L&G Longer Dated All Commodities UCITS ETF | 4.47% | -8.91% | -0.77% | 14.97% | -23.47% | |
iShares Diversified Commodity Swap UCITS ETF | 4.32% | -10.96% | - | - | - | |
UBS ETF (IE) Bloomberg Commodity Index SF UCITS ETF (USD) A-acc | 3.87% | -11.05% | -3.31% | 13.49% | -24.92% | |
iShares Diversified Commodity Swap UCITS ETF (DE) | 2.07% | -10.44% | -3.49% | 14.39% | -26.85% |
Source: justETF.com; As of 30/11/19; Calculations in CHF including dividends