Hedge funds shift gears on commodities

Investors have flocked back to commodities. And while analysts believe this will continue, hedge fund managers see traditional investor profiles changing

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After years of poor performance, an increasingly positive commodity price outlook has piqued investor interest in commodity hedge funds, causing a substantial shift in allocations back into the asset class in 2016. While many investors simply want to gain long-only access to rising prices in markets such as crude oil, a number of fund managers have detected growing demand for more diversified offerings and are developing new strategies in response.

Commodities registered the first positive gain