27.03.2012 - What to beware of when trading commodity ETFs
Recent action in the commodity markets begs the question of how to play the game and stay in it. Until about a decade ago, the only way to get direct exposure to this market was via futures contracts. Now, while ETFs provide access, expect at least some degree of "drift" between the way the ETF and its underlying commodity contracts move. ETFs designed to track futures contracts have a huge fundamental disadvantage compared to ETFs based on a basket of equities...............................................Full Article: Source
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