Despite some volatile trading days, speculators have not largely altered their unusually bullish views in Chicago corn over the last month, though they had turned a little friendlier toward beans in the latest week. Optimism faded in recent sessions, however, as the U.S. government projection of domestic corn supply was heavier than predicted. In the .
Tax Advantages Are Driving Investors from Mutual Funds to ETFs February 17, 2021
Exchange traded funds (ETFs) are highly praised for their distinct advantages over mutual funds. A recent Financial Times article noted that recent research shows that inherent tax advantages make the ETF vehicle most appealing.
“A shift in US investor flows away from mutual funds towards exchange traded funds is being driven primarily by a tax loophole, rather than any inherent advantage of the ETF structure, a team of academics has concluded,” the article explained. “In the past decade, US investors have pulled $1tn from actively managed US mutual funds, with a similar amount flowing into ETFs.”
Hedge funds purchased more petroleum last week, but buying was almost entirely concentrated in WTI, which suggests it was driven by the prospect of freezing weather temporarily hitting U.S. oil production. Hedge funds and other money managers purchased the equivalent of 33 million barrels in the six most important petroleum-linked futures and options contracts in .
Saxo Bank publishes weekly Commitment of Traders reports (COT) covering leveraged fund positions in commodities, bonds and stock index futures. For IMM currency futures and the VIX, we use the broader measure called non-commercial. This summary highlights futures positions and changes made by hedge funds across commodities, forex, bonds and stock indices up until last .