Just in time for skyrocketing oil prices, commodity exchange traded fund (ETF) provider Teucrium is out with another addition to its lineup.
The Teucrium WTI Crude Oil Fund (NYSEArca: CRUD), according to Index Universe, will own the closest to spot price June or December futures contract, which will be weighted at 35%. The next contract out will be owned in June or December at 30%. Finally, the last contract will be the December contract after the second contract and it will be weighted at 35%.
The fee on the fund is 1%, which is what it charges on Teucrium Corn (NYSEArca: CORN) and Teucrium Natural Gas (NYSEArca: NAGS), the latter of which launched earlier this month.
The timing of the launch is fortuitous: oil prices are now back above $100 a barrel as a result of the intensifying crisis spreading in the Middle East, which has disrupted production in Libya in particular. It’s the first time oil has been above $100 since October 2008.
In other news, a new ETF provider is hitting the scene today. FactorShares‘ new line of FactorShares Spread ETFs are designed to replicate spread trading, which helps investors get exposure to two market segments in one position.