S&P rolls out contango-free GSCI index

Standard & Poor's has launched an enhanced version of its GSCI Commodities Index in an attempt to help investors avoid any negative effects of contango on roll returns.

S&P index rolls into the optimal area of the futures curve

Targeting investors seeking long exposure to the commodities market, Standard & Poor's (S&P) has launched the S&P GSCI Dynamic Roll index, an enhanced version of the S&P GSCI Commodities Index.

Aimed mainly at institutional investors, the index seeks to roll into the optimal area of the futures curve to provide superior overall returns in periods of contango (a situation in the futures market where prices for future delivery are higher than prices for immediate delivery).

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