DBPInvesco DB Precious Metals Fund
DBP Fund Description
The Invesco DB Precious Metals Fund tracks an index of gold and silver futures contracts. It optimizes its contract selection based on the shape of the futures curve to minimize contango.
DBP Factset Analytics Insight
DBP was the first precious metals basket ETF on the market and still comes the closest to capturing the neutral production-weighted space. Like our benchmark, it allocates over 80% of its portfolio to gold and the remainder to silver, ignoring platinum and palladium. The only big difference between DBP and our benchmark is that DBP tries to pick the best contract to hold based on the shape of the futures curve, while our benchmark uses a simple front-month futures strategy. DBP has historically underperformed our benchmark overall, but the difference is minimal. That said, DBP is the most tradable fund in the segment with the lowest average bid/ask spread, so it may prove to be worth its 72 bp fee.
DBP CHARTS AND PERFORMANCE
DBP Top 10 Holdings
DBP Portfolio Management
DBP Tax Exposures
DBP Fund Structure
DBP Factset Analytics Block Liquidity
This measurement shows how easy it is to trade a $1 million USD block of DBP. DBP is rated a 5 out of 5.
DBP SECTOR BREAKDOWN
DBP TOP 10 TARGETED COMMODITY WEIGHTS
DBP Tenor Strategy
DBP's optimized tenor selection uses a rules-based strategy for choosing contracts over the next 13 months that will give the best possible implied roll yield.
DBP Rolling Strategy
DBP rolls contracts between the 2nd and 6th business days each month.
DBP Performance Statistics
Options Strategies for Outcome Investing
A collar strategy is a protective option strategy constructed by writing a call and buying a put with the same expiration date while being long the underlying security.
A covered call is an income strategy constructed by writing a call option against a holding of the underlying security.