Relevance of strategy
This fund represents active exposure to broad commodity futures through synthetic contracts and derivatives.
Wellington Management is a Boston-based private and independent investment management firm incorporated in 1933, and now manages over US$1tn of assets globally. Wellington advocates a research-driven approach, long-term thinking, and collaborative team-based investment.
The Wellington Commodities Fund is an actively managed fund that seeks long-term total returns through the active management of commodities exposure agains the customised equal sector-weighted S&P Goldman Sachs Commodities Index, in compliance with the principle of risk diversification. The fund uses primarily a proprietary top-down and bottom-up fundamental research approach, that incorporates quantitative analysis and technical models. Top-down research focuses on macroeconomic and currency analysis to determine active weights in various commodities sectors. Bottom-up research examine supply and demand fundamentals and price dynamics of commodities that companies either consume or produce. The fund can invest in commodity index and individual commodity futures, options, ETFs, forwards, swaps, structured notes, and other exchange-traded and OTC instruments that provide exposure to commodity prices. The fund will not have net-short exposure to any single commodity.