The Fund and the Index are rebalanced and reconstituted annually in November. This ETF is one of the most popular options for achieving exposure to agricultural commodities; DBA invests in a diversified basket of various agricultural natural resources, and as such can be a useful diversifying agent or inflation hedge. The targeted focus of this fund makes it often more appropriate for investors looking to implement a shorter term tactical tilt, though DBA may also be useful as a component of a long-term, xtrade forex broker review buy-and-hold portfolio. Those seeking more broadly-based commodities exposure may prefer funds such as DBC or DJP. Investors considering agriculture exposure should take note of the frequency with which the underlying holdings are rolled and the mix of exposure across various contracts. The tax consequences should also be noted; as an ETF, DBA will feature slightly different tax treatments than ETNs such as AGF (it also won’t expose investors to the credit risk of the issuing institution).

  • Generally, when an investment
    does not require investors to pay taxes during the ownership period, the
    investment is potentially more tax efficient.
  • Please see “Risk and Other Information” and the Prospectus for additional risk disclosures.
  • To allow for equitable access to all users, SEC reserves the right to limit requests originating from undeclared automated tools.
  • It is intended to reflect the performance of the agricultural sector.
  • By law, the Fund must withhold a percentage of your distributions and proceeds if you have not provided a taxpayer identification number or social security number.

Make your portfolio grow from the business of growing food. The information in this communication is not a complete analysis of every
material aspect relating to tax harvesting. Tax consequences will vary between individuals
and each individual should carefully evaluate his or her tax position with
an independent advisor. ETF Database’s Financial Advisor Reports are designed as an easy handout for clients to explain the key information on a fund. This section compares the dividend yield of this ETF to its peers. In 2006 PowerShares Capital Management was acquired by Invesco so that Invesco could get access to the ETF business and the company was renamed Invesco PowerShares.

Realtime Rating

Your request has been identified as part of a network of automated tools outside of the acceptable policy and will be managed until action is taken to declare your traffic. The investment seeks to track the price and yield performance before fees and expenses of the Deutsche Bank Liquid Commodity Index – Optimum Yield Agriculture Excess Return. Commodities and futures generally are volatile and are not suitable for all investors. To ensure our website performs well for all users, the SEC monitors the frequency of requests for SEC.gov content to ensure automated searches do not impact the ability of others to access SEC.gov content. We reserve the right to block IP addresses that submit excessive requests.

Therefore, it’s highly unlikely that the secular bull market ended in 2008. However, if in fact the bull market ended in 2008, it will be one of the shortest secular commodity bull markets of the past 200 years. The PowerShares microsoft azure vs cloudmqtt family of exchange traded funds (managed by Invesco PLC) introduced the DB Agriculture Fund on 5 January 2007, using the ticker symbol DBA. Instead, the fund is composed entirely of food and grain futures contracts.

  • In fact, this was one of the most powerful commodity bull markets dating back to the Industrial Revolution.
  • To ensure our website performs well for all users, the SEC monitors the frequency of requests for SEC.gov content to ensure automated searches do not impact the ability of others to access SEC.gov content.
  • These returns cover a period from January 1, 1988 through September 4, 2023.
  • The targeted focus of this fund makes it often more appropriate for investors looking to implement a shorter term tactical tilt, though DBA may also be useful as a component of a long-term, buy-and-hold portfolio.

A long-running debate in asset allocation circles is how much of a portfolio an investor should… The Fund is speculative and involves a high degree of risk. An top 10 best brokers with high paying forex affiliate programs investor may lose all or substantially all of an investment in the Fund. Invesco and Invesco Distributors, Inc. and their affiliates do not provide
tax advice.

Benchmark for DBA

The “A+ Metric Rated ETF” field, available to ETF Database Pro members, shows the ETF in the Agricultural Commodities with the highest Metric Realtime Rating for each individual field. To view all of this data, sign up for a free 14-day trial for ETF Database Pro. To view information on how the ETF Database Realtime Ratings work, click here. Distributions in cash may be reinvested automatically in additional whole shares of the fund only if the broker through whom you purchased shares makes such option available. Shareholders of the fund may contact their broker to determine the availability and costs of the service and the details of participation.

IVZ ETF Monthly QII Percentages

At the center of everything we do is a strong commitment to independent research and sharing its profitable discoveries with investors. This dedication to giving investors a trading advantage led to the creation of our proven Zacks Rank stock-rating system. Since 1988 it has more than doubled the S&P 500 with an average gain of +24.17% per year. These returns cover a period from January 1, 1988 through September 4, 2023. Zacks Rank stock-rating system returns are computed monthly based on the beginning of the month and end of the month Zacks Rank stock prices plus any dividends received during that particular month. A simple, equally-weighted average return of all Zacks Rank stocks is calculated to determine the monthly return.

Individual Investors

Brokers may require shareholders to adhere to specific procedures and timetables. If this service is available and used, dividend distributions of both income and realized gains will be automatically reinvested in additional whole shares of the fund purchased in the secondary market. Fund distributions
Dividends from net investment income, if any, are declared and paid quarterly. There are risks involved with investing in ETFs including possible loss of
money. Actively managed ETFs do
not necessarily seek to replicate the performance of a specified index.

Our team at ETF Database is committed to making our website the premier source of information on ETF investing with the world’s highest quality ETF tools, content, and resources. The following charts reflect the allocation of
DBA’s
underlying holdings. The following charts reflect the geographic spread of
DBA’s
underlying holdings. View charts that break down the influence that fund flows and price had on overall assets.

Distributions of net long-term capital gains, if any, in excess of net short-term capital losses are taxable as long-term capital gains, regardless of how long you have held the Shares. Dividends from net investment income, if any, are declared and paid quarterly. The Fund may also pay a special distribution at the end of the calendar year to comply with federal tax requirements. Taxes on distributions
In general, your distributions are subject to federal income tax when they are paid, whether you take them in cash or reinvest them in the Fund. The Fund is designed for investors who want a cost-effective and convenient way to invest in commodity futures. The Index is a rules-based index composed of futures contracts on some of the most liquid and widely traded agricultural commodities.

Current guidelines limit users to a total of no more than 10 requests per second, regardless of the number of machines used to submit requests. By using this site, you are agreeing to security monitoring and auditing. Get stock recommendations, portfolio guidance, and more from The Motley Fool’s premium services.

In fact, this was one of the most powerful commodity bull markets dating back to the Industrial Revolution. It was followed by a nasty bear market which began in 2012 and 2013. The adjacent table gives investors an individual Realtime Rating for DBA on several different metrics, including liquidity, expenses, performance, volatility, dividend, concentration of holdings in addition to an overall rating.

Specifically, DBA is invested in ten different commodities. The top five commodities include wheat, soybeans, corn, live cattle and sugar. Essentially, investors are placing a speculative wager on an increase in commodity prices. Fund distributions
Dividends from net investment income, if any, are declared and paid either annually, quarterly or monthly, depending on the Fund. For funds on an annual dividend payment cycle, the dividend ex-date is the next business day following the third Friday of December, payable the last business day of the year. For funds on a quarterly dividend payment cycle, the dividend ex-date is the next business day following the third Friday of each March, June, September and December, payable the last business day of the month.

Both
index–based and actively managed ETFs are subject to risk similar to stocks,
including those related to short selling and margin maintenance. MacroVar monitors global financial markets and economies using advanced Data Analytics. Sign up Free to manage your investments, trading & business strategy using MacroVar data analytics tools and historical data access. The DBIQ Diversified Agriculture Index Excess Return Index is a rules-based index composed of futures contracts on some of the most liquid and widely traded agricultural commodities. It is intended to reflect the performance of the agricultural sector.