UBS BBG Commodity CMCI SF UCITS ETF hGBP acc

What this fund is

UBS BBG Commodity CMCI SF UCITS ETF hGBP acc is an exchange-traded fund (ETF) from UBS, traded under the ticker UD06 (ISIN IE00BF0V4615). It lets you buy a basket of holdings in a single trade, spreading your money across them rather than one company. In plain terms it is about tracking physical commodities like gold or oil, which often move differently from shares and are used to spread risk or hedge inflation, spread across its target market. It is typically held as a diversifier — a slice that behaves differently from mainstream shares — rather than as a portfolio's main engine.

Its ongoing charge (TER) is 0.34% a year — about €34 a year on a €10,000 holding, taken automatically from the fund. Income such as dividends is automatically reinvested inside the fund (an accumulating share class), so returns compound without you doing anything. It tracks its index through a swap agreement rather than owning every holding (synthetic replication); it is domiciled in Ireland and UCITS-regulated, a European standard built to protect everyday investors and trades in GBP. Its price has swung about 13.6% over the past year, which describes how much its price tends to move rather than whether it is good.

It launched in 2018. As with any investment, its value can go down as well as up, and past performance is not a guide to future results. (Fund data sourced from UBS.)