Description

HUN offers a specialized approach to investing in natural gas, primarily by focusing on the January winter contract each year. This method is chosen because these contracts are typically the most liquid and help avoid the negative roll yield often associated with standard monthly futures. Unlike traditional investments in natural gas companies, which can expose investors to corporate instability, geopolitical risks in producing nations, or interest rate fluctuations, HUN provides direct exposure to the commodity's price without these accompanying equity risks. It achieves this by closely tracking the performance of the Solactive Natural Gas Winter MD Rolling Futures Index ER. Denominated in Canadian dollars, HUN also mitigates currency risk for Canadian investors by hedging any gains or losses from its U.S. dollar-denominated assets back to the Canadian dollar. The fund's primary objective is to replicate the index's performance, before accounting for various fees, expenses, and transaction costs.