Benjamin Ross, senior vice-president and portfolio manager, said markets were slowly rebalancing and added: “Our proprietary analysis indicates that most commodities are likely to achieve supply-and demand equilibrium by the end of 2017, with implications for a 25% increase in spot prices from October 2016 levels.
“Economic and policy trends also appear to be shifting in commodities’ favour, including improved global growth, stabilisation in China’s raw materials consumption and the prospect of global fiscal stimulus. But the rebalancing process is often bumpy, underscoring the value of active management in navigating changing market conditions.”
The Active Commodities Fund is not yet registered in any jurisdiction outside Ireland, but Cohen & Steers plans to make it available to professional investors in the UK and Netherlands, to qualified institutional buyers in the US and to qualified investors in Switzerland.
