Bloomberg Commodity Index 2023 Target Weights Announced

NEW YORK, Oct. 27, 2022 /PRNewswire/ -- Bloomberg announced today the 2023 target weights and composition for the Bloomberg Commodity Index ("BCOM"). Launched in 1998, and with historical information available back to 1960, BCOM is a widely tracked benchmark for the commodities market with an estimated AUM of over $110B.

As a result of this year's annual reconstitution, a new commodity futures contract will be added to BCOM in 2023. Lead (Bloomberg Terminal Ticker: LL) will become the 24th exchange-traded contract tied to a physical commodity added to the benchmark. Transition toward the 2023 target weights will take place during the January 2023 index roll period.

Energy will retain the highest BCOM commodity group weight in 2023 increasing slightly to 29.95%, with the Natural Gas weight (7.94%) becoming the largest in the group. Industrial Metals will see the largest weight increase, namely .46%, following the inclusion of Lead (.94%). Precious metals will experience the first weight drop since 2016, with decreases in both Gold and Silver. Overall, BCOM will see weight increases in Energy, Grains, and Industrial Metals, and decreases with Softs, Precious Metals, and Livestock.

Target weights of all BCOM components for 2023, as well as their comparative weights in 2022, are listed below:

Target weights are determined in accordance with the rules described in the BCOM methodology. 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 weights:

• No group may see its weight exceed 33%
• No single commodity, together with its derivatives, may see its weight exceed 25%
• No single commodity may see its weight exceed 15%

For additional information and licensing opportunities, please contact [email protected] or visit bloombergindices.com.

Bloomberg terminal users can visit IN <GO> on the Bloomberg Terminal for index performance and analytics.

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