Description

This WisdomTree ETF, officially known as the WisdomTree Enhanced Commodity UCITS ETF, aims to replicate the financial performance of the WisdomTree Enhanced Commodity Total Return Index. It achieves this goal before any costs or charges are deducted. The underlying Index provides comprehensive and varied access to commodity futures, utilizing a sophisticated, multi-factor approach designed to maximize the 'roll yield' – a specific return component in futures trading. To deliver the Index's returns, the Fund primarily invests its assets in secure US Treasury Bills. It then employs total return swaps, which are financial contracts, to synthetically mirror the Index's performance. The risk associated with these swap agreements is managed through daily collateralization and monthly re-evaluation and adjustment.