The Breakwave Tanker Shipping ETF (BWET), launched by Breakwave Advisors and ETF Managers Group LLC, will offer investors long exposure to the crude oil tanker shipping market through a portfolio of near-dated futures contracts on indices that measure the cost of shipping crude oil. The ETF provides direct exposure to crude oil freight futures and will hold crude oil tanker futures contracts with a weighted average of around three months to expiration, using a mix of one- to six-month freight futures based on the prevailing calendar schedule. The initial allocation of the tanker crude oil freight futures will be 90% Very Large Crude Carriers (VLCC) contracts and 10% Suezmax contracts, rebalancing annually.
ETF Newz Says:
BWET aims to give investors access to a sector that has recently shown growing importance for energy security and generated significant returns over the full cycle.