UBS Commodities Index Plus Fund US-USD B (CR47)

Overview

The UBS Commodities Index Plus Fund US-USD B represents a critical development in the realm of investment funds, specifically designed for commodities investment. By focusing on achieving exposure to a wide range of commodities, including energy, agriculture, metals, and livestock, this mutual fund seeks to provide investors with a diversified portfolio that is less likely to be influenced by the fluctuations found in traditional equity and bond markets. The unique approach of incorporating both physical commodities and derivatives into its investment strategy allows it to effectively mirror the performance of various commodity prices and indices. This fund serves as a strategic tool for investors aiming at inflation hedging and broadening their investment portfolio, emphasizing the benefits of including non-correlated assets such as commodities.

Products and Services

The UBS Commodities Index Plus Fund US-USD B offers a range of investment opportunities focused on commodities, each designed to cater to different aspects of commodity market exposure:

• Diversified Commodities Portfolio:

  Investors are offered exposure to a broad array of commodities across sectors like energy, agriculture, metals, and livestock. This diversified approach aims at minimizing the risk associated with the volatility of individual commodities while attempting to capitalize on the overall market movements.

• Physical and Derivatives Market Exposure:

  The fund strategically invests in both the physical commodities and derivatives markets. By doing so, it enables a more flexible and encompassing approach to tracking the commodity markets' performance, providing a blended exposure that can potentially safeguard against market downturns and enhance returns.

• Global Commodity Markets Participation:

  Emphasizing a global perspective, the fund accesses commodity markets across the world. This international approach not only opens up a wider range of investment opportunities but also serves to diversify the risks associated with regional market volatilities and geopolitical uncertainties.

• Inflation Hedging and Portfolio Diversification:

  The inclusion of commodities in an investment portfolio offers a strategic advantage for inflation hedging. Since commodities often move inversely to stocks and bonds, they can serve as an effective tool for portfolio diversification, potentially reducing risk and improving returns over the long term.