There were 10 commodities ETFs launched in 2021, versus three in 2020. Mutual fund development has remained stagnant since 2019. Of those launched last year, only the $63m Hartford Schroders Commodity Strategy ETF (HCOM) was broad based, and the rest were focused thematic ETFs, including the highly specific $124m KraneShares California Carbon Allowance Strategy ETF (KCCA) which launched in October. KCCA’s flows reflect the growing popularity of thematic funds across the industry, according to Craig Kilgallen, director of relationship development at Fuse Research. “We’ve seen a rise in thematics, particularly on ETF side, and can look at what’s going on in commodities space as being more of a thematic play,” he said
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Article published on March 16, 2022