Press announcement

2017 Target Weights for the Bloomberg Commodity Index Announced

October 20, 2016

NEW YORK, Oct. 20, 2016 — Bloomberg today announced the 2017 target weights and composition for the Bloomberg Commodity Index (BCOM). Launched in 1998, BCOM is a highly liquid and diversified benchmark for the global commodities market. No new commodities will be added or removed as a result of the annual reconstitution.

The new target weights will be used to determine the Commodity Index Multipliers (CIM) for 2017. The new CIM will be calculated on the fourth business day of 2017 and used to express the percentage weights in U.S. dollar-denominated terms.

Target weights of all BCOM components for 2017, as well as their comparative weights in 2016, are provided in the table below:

 

BCOM 2017 Target Weights

Energy will remain the largest group in 2017 despite a drop in weight of almost 0.5%. Gold remains the highest weighted commodity in the index and its weight declined from 11.38% to 11.17%. BCOM will see weight increases for 2017 in Grains, Industrial Metals, and Livestock, and decreases in Energy, Precious Metals and Softs.

Target weights are determined in accordance with the rules described in the index methodology (www.bloombergindices.com/commodity). The index rules account for liquidity and production data in a 2:1 ratio and are subject to the following requirements for diversification and minimum weightings:

  • No single commodity (e.g., Wheat) may constitute more than 15% of BCOM;
  • No single commodity, together with its derivatives, may constitute more than 25% of BCOM (e.g., WTI Crude Oil and Brent Crude Oil, together with ULS diesel and Unleaded Gas); and
  • No group may constitute more than 33% of BCOM (e.g., Precious Metals).

Please visit www.bloombergindices.com for additional information and licensing opportunities, and IN <GO> on the Bloomberg Professional service for the latest index performance information.

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