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Commodities

A diversified allocation to commodities, to provide an inflation benefit and to diversify from traditional stock and bond exposures.

Strategy Description

Exposure to commodities allows investors to take advantage of 4 key global trends:

  • Sustainability the move to carbon neutrality requires more copper, iron ore, silver, nickel, cobalt, aluminum, etc. This is positive for industrial metals and provides a long-term tailwind
  • Infrastructure the US needs to upgrade infrastructure and China has not developed many parts of the interior. Commodities are required for both countries’ growth / infrastructure plans.
  • Supply producers have carefully managed capex to improve bottom lines and ESG scores, as well as to prepare for a fossil-free world. This limited supply cannot be resolved overnight.
  • Inflation & USD weakness since commodities are finite and priced in USD, their inclusion in portfolios can improve returns in a world of monetary supply expansion and potential inflation.

This strategy invests across the commodity spectrum – precious and industrial metals, agriculture commodities and energy markets. Can be run with or without cryptocurrency exposure, which adds another dimension of diversification and exposure to a potential new asset class.

Daily transparency and liquidity; implementation is via low-cost ETFs to minimize costs

For US investors, available in a Tax-Aware approach. Please visit our US site for details. 

PrintFact Sheet

Portfolio Performance

202020212022
Portfolio (%)14.9510.27-5.34
Annualized ReturnStandard DeviationDividend Yield
Portfolio7.83%20.63%0%

Allocation Breakdown

Asset Class


Equity0
Fixed Income0
Commodities99.47%
Cash0.53%

Geo


America32.97%
Greater Europe65.34%
Developed Asia0
Emerging Asia0
Central/Latin America0

Sector


Gold15.26%
Platinum8.07%
Silver12.58%
Industrial Metals23.03%
Bitcoin3.14%
Ethereum3.24%
Broad Commodities34.14%

Top Holdings

Asset ClassWeight (%)
1. Wisdomtree Enhanced Commodity UCITS ETF34.14%
2. WisdomTree Industrial Metals23.03%
3. Invesco Physical Gold ETC15.26%
4. iShares Physical Silver ETC12.58%
5. iShares Physical Platinum ETC8.07%
6. WisdomTree Ethereum3.24%
7. WisdomTree Bitcoin3.14%