MAB Quarterly Review Q1 2026 - Cautious - Flipbook - Page 13
UBS BCOM CMCI ETF:
Performance since inception
Past performance is not a guide to future performance.
Source: Re昀椀nitiv DataStream / YOU Analysis.
is accessed through crude oil futures contracts.
This means the Fund bene昀椀ts from changes in oil
prices, without the manager needing to own or
store physical barrels of oil. This is a widely used
and ef昀椀cient approach to investing in commodities,
particularly where transportation and storage costs
can be high.
futures contracts, which are typically more
sensitive to short-term price movements, the
Fund spreads its exposure across different time
periods. This approach helps to manage volatility
and improve the consistency of returns over time
and has been a signi昀椀cant contributor to the
Fund’s long-term performance.
The manager invests in commodities at weightings
that closely re昀氀ect the Bloomberg Commodity Index,
one of the world’s most widely used benchmarks
for tracking global commodity markets. The index
provides exposure to 24 different commodities,
including gold and crude oil, which currently have
target weights of 14.9% and 8.4%, respectively.
By diversifying across the curve, the Fund has
typically delivered a return pro昀椀le with lower
volatility and stronger overall performance, which
we believe is an attractive outcome. This was clearly
demonstrated in 2025, when the UBS BCOM CMCI
ETF generated a return of +17.6% in GBP Hedged
terms, outperforming the Bloomberg Commodity
Index (GBP Hedged), which returned +15.7%.
Importantly, this outperformance was achieved with
lower volatility, at 7.4% for the Fund compared versus
8.4% for the index. As such, 2025 provides a strong
example of the Fund delivering superior risk-adjusted
returns vs the Bloomberg Commodity Index. The
main contributors to this outperformance were
Natural Gas, Gold and Silver.
The index is constructed using a rules-based
approach that considers factors such as global
production levels, with no single commodity allowed
to exceed 15% of the index. As a result, the Fund
offers a well-diversi昀椀ed exposure to a broad range of
commodities, rather than relying on the performance
of any one market. We believe this diversi昀椀ed
approach is particularly valuable over the long term,
as supply shocks and geopolitical events can be
dif昀椀cult to predict.
The UBS BCOM CMCI ETF invests in the same
underlying commodity markets as the Bloomberg
Commodity Index, but the way the returns are
generated by the Fund can vary meaningfully from
the index. Instead of investing only in short-term
In summary, the Fund offers a straightforward
way to invest in a wide range of commodities,
with a design aimed at delivering steadier and
more ef昀椀cient returns over time.
The chart above illustrates the longer-term
performance of the UBS BCOM CMCI ETF relative
to the Bloomberg Commodity Index.
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