Natural Gas Commodity

Natural gas commodity ETFs and mutual funds invest the majority of their... Natural gas commodity ETFs and mutual funds invest the majority of their assets in futures contracts tied to the price of natural gas. These futures contracts tend to be listed on U.S. derivative exchanges. These funds tend to be passively managed and offer exposure for investors who believe the price of natural gas is heading higher. Natural gas is affected by changes in economic growth, changes in the weather, and fluctuations in supply. More recently, it’s been impacted by exports of liquid natural gas. As with other commodities, natural gas is not simply affected by changes in physical supply and demand. Speculators can play a big role in price movements. As a result, these funds are only appropriate for more aggressive investors. Last Updated: 01/30/2025 View more View less

Natural gas commodity ETFs and mutual funds invest the majority of their assets in futures contracts tied to the price of natural gas. These futures contracts tend to be listed on U.S. derivative... Natural gas commodity ETFs and mutual funds invest the majority of their assets in futures contracts tied to the price of natural gas. These futures contracts tend to be listed on U.S. derivative exchanges. These funds tend to be passively managed and offer exposure for investors who believe the price of natural gas is heading higher. Natural gas is affected by changes in economic growth, changes in the weather, and fluctuations in supply. More recently, it’s been impacted by exports of liquid natural gas. As with other commodities, natural gas is not simply affected by changes in physical supply and demand. Speculators can play a big role in price movements. As a result, these funds are only appropriate for more aggressive investors. Last Updated: 01/30/2025 View more View less