According to the U.S. Energy Information Administration, natural gas demand is expected to rise in 2012, compared to 2011. The drop off in natural gas consumption was due to lowered production activity among businesses and a milder-than-expected Winter. [Tom Lydon, Chuck Jaffe Talk of the ETF Week: Natural Gas Equities]
Another ETF to play natural gas is the First Trust ISE-Revere Natural Gas Index Fund (NYSEArca: FCG). The fund is equity-based so the performance differs from UNG.
U.S. Natural Gas Fund
Tisha Guerrero contributed to this article.