8-K: United States 12 Month Oil Fund Reports $940,891 Net Income for October 2024

The United States 12 Month Oil Fund, LP reported a net income of $940,891 for the month of October 2024, driven by unrealized gains on commodity futures and other income.

Summary

• The United States 12 Month Oil Fund, LP released its monthly account statement for October 2024.
• The fund reported a net income of $940,891 for the month.
• This income was primarily driven by an unrealized gain of $845,678 on the market value of commodity futures.
• The fund also generated $79,920 in dividend income and $137,296 in interest income.
• Total expenses for the month were $57,153, including management fees, professional fees, brokerage commissions, directors' fees and insurance, and license fees.
• The net asset value of the fund increased from $53,871,391 at the beginning of the month to $54,812,282 at the end of the month.
• The net asset value per share was $36.54 based on 1,500,000 shares.

Sentiment

Score: 7

Explanation: The document reports positive net income and an increase in net asset value, indicating a positive performance for the month. However, the reliance on unrealized gains and the presence of realized losses temper the overall sentiment.

Positives

• The fund generated a substantial net income of $940,891 for the month.
• The fund experienced significant unrealized gains on commodity futures, indicating positive market movements.
• The fund's net asset value increased by nearly $1 million during the month.

Negatives

• The fund incurred $64,850 in realized trading losses on commodity futures.

Risks

• The fund's performance is heavily reliant on the volatile commodity futures market.
• Realized trading losses can negatively impact overall profitability.

Future Outlook

There is no specific future outlook provided in this document, it is a report of past performance.

Management Comments

• Stuart P. Crumbaugh, Chief Financial Officer of United States Commodity Funds LLC, stated that the information in the account statement is accurate and complete to the best of his knowledge and belief.

Industry Context

This report provides insight into the performance of a specific commodity-based exchange-traded fund (ETF). The results are influenced by the price fluctuations of oil futures contracts and the fund's management strategy. The performance of this fund can be compared to other similar commodity ETFs.

Comparison to Industry Standards

• The fund's performance is directly tied to the price of oil futures contracts, making it comparable to other oil-tracking ETFs such as USO (United States Oil Fund).
• The reported net income and NAV changes are typical metrics used to evaluate the performance of commodity-based ETFs.
• The expense ratio of the fund, while not explicitly stated, can be inferred from the total expenses and is a key factor in comparing it to similar funds.
• The fund's reliance on unrealized gains highlights the importance of market timing and volatility in its performance, which is a common characteristic of commodity-based investments.

Stakeholder Impact

• Shareholders will be interested in the positive net income and increase in net asset value.
• The fund's performance directly impacts the value of their investment.
• The report provides transparency into the fund's financial activities.

Key Dates

Keywords

Oil Fund, Commodity Futures, Net Income, Net Asset Value, USL, Financial Report, Monthly Account Statement