New Commodity ETN is Cyclical

The ELEMENTS exchange traded notes (ETNs) are adding a new and different commodity-based product to its line-up. The note tracks the S&P Commodity Trends Indicator Total Return Index (S&P CTI), which includes 16 physical commodities futures, divided into six subsectors.

The twist on S&P CTI ELEMENTS ETN (LSC) is that it looks at commodities and their cyclical movements. The S&P CTI takes long or short positions in each sector based on how current prices compare to a moving price average. Its intent is to capture the rise and fall of rising or deflating prices in the commodities market.

This ETNs release comes at a time when the commodities sector is a key investment theme of the day.

LSC joins other commodity-related ETNs such as:

• E-TRACS UBS Bloomberg CMCI Index ETN (UCI)
• iPath GSCI Commodity Total Return Index ETN (GSP)
• iPath Dow Jones AIG Agriculture ETN (JJA)