Deutsche Bank Expands Holdings of Two Commodity ETFs

Here's an update to DBA, an agriculture ETF I recommend (and own).

Deutsche Bank to Expand Holdings of Two Commodity-Linked Exchange Traded Funds (Business Wire) 4:00 PM ET 09/30/2009

Deutsche Bank today announced it will increase the number of commodities tracked by the PowerShares DB Commodity Index Tracking Fund (DBC) and the PowerShares DB Agriculture Fund (DBA). The additional commodities will diversify the funds’ exposures, reduce the funds’ holdings in Chicago Corn and Wheat, and satisfy position limits imposed by the Commodity Futures Trading Commission in those two commodities.

PowerShares DB Commodity Index Fund (DBC)
In addition to the six commodities it currently tracks, DBC will add Brent Crude, Copper Grade A, Natural Gas, RBOB Gasoline, Silver, Soybeans, Sugar, and Zinc.

PowerShares DB Agriculture Fund (DBA)
In addition to the four commodities it currently tracks, DBA will add Cocoa, Coffee, Cotton, Feeder Cattle, Kansas Wheat, Lean Hogs, and Live Cattle.

My favorite agriculture fund is no longer an agriculture fund - damned feds. I still think it may have a place in my portfolio. You can read the press release here.

Agriculture ETF

DBA - PowerShares DB Agriculture Fund

In an effort to more fully diversify my portfolio I've recently taken a full position in DBA. There are several Agricultural ETFs out there but I chose DBA because it's simple. DBA holds only four agriculture commodities through the use of futures contracts.

Since the beginning of this bear market I've been working towards creating what I call a personal hedge fund. My goal is to have 20% of my portfolio in alternative investments and this is another position towards that objective. I'll be writing more on this in the future.

Holdings
Corn 25%
Wheat 25%
Sugar 25%
Soy Beans 25%

Profile
Todays Close: 24.65
Category: Natural Resources
Fund Family: DB Commodity Services, LLC
Net Assets: 1.63B
Fund Inception Date: 5-Jan-07
52wk Range: 21.52 - 42.65
YTD Return: -6.46%
Yield: N/A
Expense Ratio: N/A
Turnover Rate: N/A

Important Update: Deutsche Bank to Expand Holdings of Two Commodity-Linked Exchange Traded Funds