Commodity Funds Hemorrhage Cash as Investors Bail at Record Pace
- Losses for precious metals, agriculture overwhelm energy gains
- Value of ETFs tracking broad-based raw materials plunged 26%
Why Investors Are Fleeing Commodity ETFs
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Investors can’t seem to get away from non-energy commodities fast enough.
A record $857 million was pulled this year from U.S. exchange-traded funds backed by broad baskets of everything from grains to metals, according to data compiled by Bloomberg through Dec. 23. The value of the funds plunged 26 percent as raw materials tumbled to a 16-year low. Hedge funds are expecting more losses, betting on price declines for gold, copper, corn and natural gas.