ETF Spotlight: United States Commodity Brent Oil Fund (BNO)

All News:

• Platinum and Palladium ETFs are Long-Term Bets
• Nasdaq ETF Near 200-Day Average as Apple, Cisco Weigh
• Bank ETFs Hit Again on Economy, Capital Levels

ETF Spotlight on United States Commodity Brent Oil Fund (NYSEArca: BNO), part of a weekly series.

Assets: $13.7 million

Objective: BNO aims to track the price of Brent oil by owning futures contracts

Holdings: The portfolio consists of futures for Brent crude oil

What You Should Know

• As if this writing, BNO owns 133 futures contracts on Brent crude, which expire in April
• When owning commodity funds, it’s helpful to know when they will roll contracts forward; here’s BNO’s roll schedule
• BNO charges a 0.75% expense ratio
• Why another oil ETF? Brent crude oil is the second-most liquid commodity futures contract after West Texas intermediate and it’s another way to get exposure
• This fund is thinly-traded, so watch the spread when trading it and use limit orders

The Latest News

• Brent crude prices have surged as a result of widespread protests in the Middle East, which rose 5% today alone
• BNO is one of the top-performing futures-based oil ETFs lately
• Brent supplies are already very tight, and it’s been estimated that the loss of production has been roughly one-half to one-third of daily output, says CNBC

The ETF Spotlight archives.