Corn Commodity

Corn based commodity ETFs and mutual funds invest the majority of their... Corn based commodity ETFs and mutual funds invest the majority of their assets in futures contracts tied to corn futures. These funds tend to be passively managed and aim to provide exposure for investors who believe the price of corn is heading higher. Corn futures are affected by changes in demand for corn and corn supply, making it an attractive commodity for investors who are bullish on corn consumption or bearish on corn production. As with other commodities, wheat is not simply affected by changes in physical supply and demand. Speculators can play a big role in price movements. In addition, prices are often influenced by factors such as geopolitical tensions, climate changes, and changes in nutritional habits. Additionally, a large share of the U.S. corn crop is used for ethanol production, so changes in ethanol demand affect corn prices. As a result, these funds are only appropriate for more aggressive investors. Last Updated: 04/18/2024 View more View less

Corn based commodity ETFs and mutual funds invest the majority of their assets in futures contracts tied to corn futures. These funds tend to be passively managed and aim to provide exposure for... Corn based commodity ETFs and mutual funds invest the majority of their assets in futures contracts tied to corn futures. These funds tend to be passively managed and aim to provide exposure for investors who believe the price of corn is heading higher. Corn futures are affected by changes in demand for corn and corn supply, making it an attractive commodity for investors who are bullish on corn consumption or bearish on corn production. As with other commodities, wheat is not simply affected by changes in physical supply and demand. Speculators can play a big role in price movements. In addition, prices are often influenced by factors such as geopolitical tensions, climate changes, and changes in nutritional habits. Additionally, a large share of the U.S. corn crop is used for ethanol production, so changes in ethanol demand affect corn prices. As a result, these funds are only appropriate for more aggressive investors. Last Updated: 04/18/2024 View more View less