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How do you guys feel about PowerShares DB Commodity Idx Traking Fund (DBC) right
now, to hold for a few months? Thanks!

Asked by dca111 1 month ago - 5 answers - 925 views
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looked up holdings for DBC....is it good or bad for DBC to hold 218.18% of WTI
CRUDE FUTURE JUL09 if the industry benchmark has switched out of WTI and is now
using ACM banchmark?

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PowerShares DB Commodity Index Tracking Fund (DBC) is well diversified, a bit
heavy in energy but also well represented in the important areas of agricultural
commodities and metals, including the precious variety. This provides a good
overall hedge against inflation, which is a distinct possibility the way the Fed
and Treasury are shoveling liquidity into the economy. The fund’s exposure to
various types of commodities helps assure that if one area--such as agricultural
output--loses value, other sectors will smooth out the overall return. Its
expense ration of 0.75% is on the high end of the spectrum for ETFs, but not
exorbitant when compared with other ways of playing commodities. The link below
is a recent article from TheStreet.com that covers DBC:
http://www.thestreet.com/story/10472124/1/top-rated-commodity-etfs-that-beat-sto
cks.html
Before you get too hung up on commodities, another article from TheStreet.com
about commodities is worth reviewing. It was written when commodities seemed
like perfect investments—like tech stocks in the late ‘90s or homes five
years ago. The last three paragraphs of the articles are strongly recommended
for anyone becoming addicted to commodities. The link is below:
http://www.thestreet.com/story/10407861/1/commodity-funds-soar-but-can-it-last.h
tml
A pure play on an economic expansion with a built-in hedge against inflation is
metals. A link to a recent article in TheStreet.com provides info on that
sector:
http://www.thestreet.com/story/10473252/1/metal-etfs-open-window-to-economic-hor
izon.html
In case the three articles above haven’t given you enough to read about the
subject, a few more links are below:
http://www.thestreet.com/story/10422217/1/how-to-invest-in-commodities-funds.htm
l
http://www.thestreet.com/story/10424832/1/six-agricultural-etns-growing-like-cor
n.html
http://www.thestreet.com/story/10414070/1/two-less-risky-ways-to-invest-in-commo
dities.html
NOTE: The links above spill over from one line to the next, so to access the
article, you will have to copy each one as a continuous string and them post
them into the address window of your browser.

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Like all commodities plays in looks interesting
after yersterday's Fed's action.
Just don't rush into it with all your cash,
be carefull :)

Answered by mroil - Bookmark this User - Ignore this user
1 months ago - Report Abuse

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