28.05.2015 - Energy ETFs a Riskier Bet Last Week Than Commodity ETFs
As we saw in the previous part, WTI (West Texas Intermediate) oil futures gained 0.05% last week. While retail investors don’t have easy access to the futures market, they can benefit from access to safer, low-cost avenues to bet on WTI crude prices. The first avenue is energy ETFs such as the United States Oil Fund (USO), an ETF that tracks prompt WTI crude oil futures. Shares of USO trade on the NYSE (New York Stock Exchange) like company stock. The fund lost 1.3% last week. The second avenue is commodity ETFs such as the SPDR S&P Oil & Gas Exploration & Production ETF (XOP). It holds many American energy companies that have exposure to oil prices due to their upstream oil production operations...........................................Full Article: Source
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