WisdomTree brings the Continuous Commodity Index Fund from its own Trust under the WisdomTree umbrella.
Old name: WisdomTree Continuous Commodity Index Fund
New name: WisdomTree Enhanced Commodity Strategy Fund
New prospectus is here.
What this means for investors:
1. Index to actively-managed - performance enhanced (hopefully)
2. 28% reduction in annual expense ratio - higher net returns
3. No K-1 schedule anymore - less year-end tax paperwork
4. Increased commodities from 17 to 25 - increased diversification and exposure to more relevant metals
5. Performance history reset - Unfortunate for long-time holders of GCC since Greenhaven days
What this means for WisdomTree:
1. Revenue neutral as the reduction in expense ratio is compensated by lower operating fee
2. Provides more investment decision flexibility
3. Much lower regulatory filing and reporting fees as lone trust eliminated
4. Eliminates index licensing and reporting fees
5. Possibly lower sub-advisor fee?
Old ticker: GCC
New ticker: GCC (unchanged)
Old index: Thomson Reuters Continuous Commodity Index
New index: N/A (Actively-managed)
Old management fee: 0.85% with 0.10% waiver to 0.75%
New management fee: 0.55%
Old CUSIP: 97718W 108
New CUSIP: 97717Y683
Old SubAdvisor: GreenHaven Advisors LLC
New SubAdvisor: Mellon Investments Corporation
Old exchange: NYSE arca
New exchange: NYSE arca (unchanged)
Effective date: December 21, 2020
GCC was originally launched in 2006 tracking index with innovative commodity rolls strategy which avoided turmoil and thus impact on returns around set roll dates.
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