GRES is the first global resources hedged ETF. The fund seeks to solve the problems associated with the significant overweight in the energy sector inherent in other broad-based commodity products. GRES also provides a hedge against inflation and a real return through exposure to a diversified portfolio of commodity-related equities.
The fund invests in five traditional sectors: livestock; precious metals; grains, food and fiber; industrial metals; and energy. Also found in the index are coal, timber and water.
IndexIQ utilizes a proprietary rules-based methodology to construct the underlying CPI and GRES indexes. The expense ratio for both ETFs comes in at 0.75%.
For more stories about new ETFs, visit our new ETFs category.
Read the disclaimer, as Tom Lydon is a board member of Rydex Funds.