Rogers International Commodities Index fund

Rogers International Commodities Index fund

Jim Rogers is known around the world for his expertise in commodities, as well as unique perspective on what's driving the global economy; whether it's positive or negative.

A number of years ago the prolific investor looked for a way to invest in a basket of commodities and didn't find much if anything that focused on that particular market.

So to that end, he designed the Rogers International Commodities Index (RICI) fund, which allows investors to invest in commodities in a way that is weighted by the commodity guru himself.

As Rogers points out in the description of the fund, it is not only weighted with regional or American-focused consumption, but takes in the entire world, as noted by the inclusion of rice in the index, one the more consumed foods in the world, yet left off a number of indexes.

For the purpose of making it easier for potential investors to track the Rogers International Commodities Index fund, Rogers only includes commodities traded on recognized exchanges. That way verification of performance is easy, quick and trustworthy.

A total of 35 commodities are traded on the Rogers International Commodities Index fund, and that's so a wide range of commodities can be included, giving investors access to an accurate measurement of overall commodity performance, and not overly weighted raw materials which could skew results in odd and unrepresentative ways.

The Rogers International Commodities Index fund is built to appeal to long term investors, and weights commodities accordingly. The purpose is to offer consistency and and stability that can be counted on year after year.

That has worked well for the fund over the 11 years it has operated, as it has produced a solid return of about 20 percent annually since its inception, and that has included two bubble markets it has had to operate under.

With commodities in the middle of a bull market and emerging markets set to start spending again, it's a good bet that the Rogers International Commodities Index fund, and other commodity funds will perform strongly for years into the future.

Rogers International Commodities Index fund