When inflation falls from 9% to roughly 3%, investors may feel the worst is over. However, persistent inflation can still erode retirement purchasing power.
Amid two ongoing hot wars involving major energy-producing countries — the war in Iran and the Russia/Ukraine conflict — the commodities arena may appear to be a hazardous place for investors to allocate capital. But recent pullbacks by some commodities-linked equities could prove to be buying opportunities.
At the sector level, energy is king this year thanks in large part to the wars in Iran and Ukraine. Those ongoing conflicts are hampering exports from those nations.
Real assets are taking on a bigger role in portfolios as the global economy needs more physical infrastructure. SS&C ALPS Advisors offers several ETF strategies designed to capture different parts of the real-assets market.
With oil prices uncomfortably high, the same being true of inflation, and all the talk of a new supercycle dawning, it's not surprising commodities are in the spotlight. The asset class is garnering plenty of adulation this year.
As of August 25, the ALPS CoreCommodity Natural Resources ETF (CCNR) has returned 27.71% year-to-date amid natural resource tailwinds. The fund's gains come as the commodity complex has become increasingly fragmented, with gold near multi-month highs, copper testing record levels, and oil retreating from a geopolitically-driven spike.
With gold and silver slumping and oil surging, it's been an interesting, if not turbulent seven months for commodities. Those are the breaks, when getting involved with futures and spot markets.
Volatile gold and oil prices are certainly among the reasons why the commodities complex is generating plenty of buzz this year. However, that turbulence isn't altering the fact that commodities, in broad fashion, are performing admirably in 2026.
Due in large part to soaring energy prices, investors holding basic energy sector ETFs are being rewarded this year. However, oil isn't the only commodity setting a torrid pace.
A commodity rally that powered energy and metals higher over the past year may be ready for its next phase, with agriculture taking the lead. The ALPS CoreCommodity Natural Resources ETF (CCNR) returned 18.1% year-to-date through March, making it the top performer across the ALPS fund lineup, according to ETF Database.
On this week's episode of ETF Prime, Todd Rosenbluth, head of research at TMX Vetta-Fi, joins host Nate Geraci to discuss how ETF share‑class expansions are getting more attention in 2025. Later, Paul Baiocchi, head of fund sales and strategy at SS&C ALPS Advisors, weighed in on the promise and pitfalls of ETF share-class expansion.
Market participants lavish attention upon themes such as artificial intelligence (AI) and renewable energy. So, it's arguably not surprising that some “old school” commodities, excluding gold and oil, aren't points of emphasis for some investors.