SDCI Profile
The USCF SummerHaven Dynamic Commodity Strategy No K-1 Fund aims to deliver significant economic exposure to the commodities markets through a sophisticated investment strategy. The fund achieves this exposure primarily by investing in the securities of its wholly-owned subsidiary, which mirrors the fund’s investment objectives and strategies. This subsidiary is managed by a combination of the fund's Adviser and a sub-adviser, ensuring a focused and strategic approach to commodity investment.
The fund’s investment strategy is designed to track the performance of the SummerHaven Dynamic Commodity Index Total ReturnSM. This index represents a comprehensive benchmark for major commodities, providing a broad exposure to the commodity sector. By aligning with this index, the fund seeks to offer investors a diversified exposure to a wide range of commodity sectors, capturing potential returns from various commodity markets while mitigating the risks associated with any single commodity.
The SummerHaven Dynamic Commodity Index Total ReturnSM is a total return index, meaning it reflects both the price changes of the underlying commodities and the income generated from holding those commodities, such as roll yield and collateral income. This approach allows the fund to benefit from the overall performance of the commodity markets, including both price appreciation and income generation, enhancing its potential returns.
The fund is classified as non-diversified, meaning it does not concentrate its investments in a narrow range of securities or sectors, which can reduce specific risk but may lead to higher volatility. The fund’s strategy and structure are tailored to provide investors with a broad and dynamic exposure to commodities, making it suitable for those looking to diversify their portfolios with commodity investments without directly handling K-1 tax forms typically associated with commodity futures trading.
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