The vast majority of this year’s broad commodity flows have been into ETFs tracking the Bloomberg Commodity Index (BCOM), the firm said.
Chris Mellor, product specialist at Source, said: “It’s clear that investors wanting to diversify their portfolios are turning to commodities.
“That makes sense given the low correlation commodities have with equities and bonds, and especially now that some equity valuations may look stretched.”
The Source Bloomberg Commodity Ucits ETF has raised over $1bn since its launch in January 2017.
The fund offers GBP and USD trading currencies and costs 0.4% per annum, split between an ongoing charge of 0.19% and swap fee of 0.21%.
