Invesco DB Commodity Index Tracking Fund (NYSE: DBC)

Invesco DB Commodity Index Tracking Fund is an exchange traded fund designed to track the performance of the DBIQ Optimum Yield Diversified Commodity Index Excess Return. The Fund invests in futures contracts on a basket of commodities and holds United States Treasury obligations and money market mutual funds as collateral.

The Fund generates returns for investors through changes in the value of its futures portfolio that mirror the index plus interest income from its holdings of United States Treasury obligations dividends from money market mutual funds and dividends or capital gains distributions from Treasury Bill ETFs.

The Fund operates in the competitive landscape of commodity linked exchange traded products where it faces rivals such as other broad based commodity ETFs and ETNs that track similar indices. Its rule based roll strategy seeks to optimize roll yield by selecting contracts with the most favorable implied roll yield and its diversification across energy precious metals industrial metals and agriculture sectors helps reduce concentration risk.

The Fund creates and redeems shares in blocks of fifty thousand through authorized participants which are typically large financial institutions and its shares trade on the NYSE Arca under the ticker symbol DBC making them accessible to a broad base of individual and institutional investors.