Simplify Introduces Chinese Commodities Strategy No K-1 ETF (CCOM), Offering Access to China-Based Commodity Markets Through a Systematic Long/Short Approach

NEW YORK – Simplify Asset Management (“Simplify”), a leading provider of Exchange Traded Funds (“ETFs”), today announced the launch of the Simplify Chinese Commodities Strategy No K-1 ETF (CCOM), a new fund designed to provide investors with diversified, long/short exposure to commodity futures traded on major Chinese exchanges, without the complexities of a Schedule K-1.

CCOM is built on a systematic long/short managed futures strategy designed by the experts at Altis Partners, seeking long-term capital appreciation by investing in commodity-linked swaps and futures referencing more than 30 markets traded on the Shanghai, Dalian, and Zhengzhou commodity exchanges. By focusing on those futures traded on major Chinese commodity futures exchanges, CCOM aims to provide investors with a key diversifier for commodities portfolios that tilt too heavily towards U.S.-centric exposures.

“China represents one of the largest and most influential commodity markets in the world, yet many of its future contracts are inaccessible to U.S. investors,” said David Berns, Co-Founder and Chief Investment Officer at Simplify. “CCOM gives investors access to a distinct set of commodity exposures that can behave differently from traditional U.S.-based commodity benchmarks, while offering the potential benefits of diversification and inflation sensitivity.”

The fund’s long/short managed futures approach employs a primary model based on price trends across multiple time periods and a secondary fundamental reversion model designed to help balance the trend following model and assist during periods when trend following struggles. The strategy also dynamically manages futures curve positioning to account for contango and backwardation environments.

“From a portfolio construction standpoint, we see this strategy as a way to broaden commodity exposure beyond traditional benchmarks,” added Berns. “The ability to go both long and short across a wide range of China-based contracts, combined with a no K-1 structure, makes CCOM a practical option for investors seeking differentiated sources of return.”

CCOM expands Simplify’s lineup of commodity-focused ETFs, joining the Simplify Commodities Strategy No-K1 ETF (HARD). HARD applies the same long/short managed futures strategy with a focus on global commodities.

More information on Simplify Chinese Commodities Strategy No K-1 ETF (CCOM).

ABOUT SIMPLIFY ASSET MANAGEMENT INC 

Simplify Asset Management Inc. is a Registered Investment Adviser founded in 2020 to help advisors tackle the most pressing portfolio challenges with an innovative set of options-based strategies. By accounting for real-world investor needs and market behavior, along with the non-linear power of options, our strategies allow for the tailored portfolio outcomes for which clients are looking.