iShares Commodity Optimized Trust

CMDT

Market cap $14.6M

CMDT is a relatively new actively managed commodity ETF that uses derivatives to achieve desired exposures. Since inception, CMDT has outperformed the Bloomberg Commodity Index. However, Q1 2025 saw underperformance due to specific sector allocations, notably underweight natural gas. The fund managers seem confident in their convictions, and are comfortable deviating substantially from the sector weights of the Bloomberg Commodity Index.

Aided by strong performance in the first four-plus months of the year, advisors are looking more closely at commodities. We believe most client portfolios remain dominated by equities and fixed income.

By: Nolan Mauk In the post-pandemic era marked by economic uncertainty, volatility, geopolitical tension, and deglobalization, one thing has been made clear: no market, sector, or asset class is immune to the effects of rapidly changing market cycles.