← Glossary

ETF proxy

Rather than trading commodity futures directly, this product uses a curated list of liquid ETFs — GLD for gold, USO for crude oil, and similar — as proxies for that underlying exposure. A proxy's price doesn't always track its underlying commodity exactly; funds holding futures rather than the physical asset can diverge over time, which is what roll drag and contango describe.

This explains what etf proxy measures. It isn't investment advice — see the disclaimer.