8-K: United States 12 Month Oil Fund Reports Significant April Losses Amidst Commodity Market Volatility

The United States 12 Month Oil Fund, LP (USL) reported a net loss of over $7.5 million for April 2025, primarily driven by substantial unrealized and realized trading losses on commodity futures, leading to a notable decline in its Net Asset Value.

Summary

• For the month ended April 30, 2025, United States 12 Month Oil Fund, LP (USL) reported a total income (loss) of $(7,547,401).
• The fund experienced a significant net income (loss) of $(7,569,401) for the month.
• Realized trading losses on commodity futures amounted to $(997,110).
• Unrealized losses on the market value of commodity futures were substantially higher at $(6,686,920).
• The Net Asset Value (NAV) at the beginning of April 2025 was $47,767,836.
• Withdrawals during the month totaled $(1,802,048), representing 50,000 shares.
• The Net Asset Value at the end of April 2025 decreased to $38,396,387.
• Net Asset Value Per Share at month-end was $32.00, based on 1,200,000 shares outstanding.
• Total expenses for the month were $22,000, including General Partner Management Fees of $20,428, Brokerage Commissions of $507, Directors' Fees and insurance of $554, and License fees of $511.

Sentiment

Score: 2

Explanation: The sentiment is negative due to significant net losses, substantial trading losses (both realized and unrealized), and a notable decline in Net Asset Value. While there was some positive income from dividends and interest, it was dwarfed by the trading losses.

Positives

• The fund generated positive dividend income of $54,950 for the month.
• Interest income contributed $81,329 to the fund's earnings.
• ETF transaction fees added a minor $350 in income.

Negatives

• The fund incurred a substantial realized trading loss of $(997,110) on commodity futures.
• A significant unrealized loss of $(6,686,920) on the market value of commodity futures was recorded.
• The total income (loss) for the month was a negative $(7,547,401).
• The fund reported a net loss of $(7,569,401) for April 2025.
• Net Asset Value decreased from $47,767,836 at the beginning of the month to $38,396,387 by month-end.
• Share withdrawals amounted to 50,000 shares, valued at $(1,802,048).

Future Outlook

The document does not contain any explicit forward-looking statements or guidance regarding future performance or market conditions.

Management Comments

• Stuart P. Crumbaugh, Chief Financial Officer of United States Commodity Funds LLC (General Partner of United States 12 Month Oil Fund, LP), certified that, to the best of his knowledge and belief, the information contained in the Account Statement for the month ended April 30, 2025, is accurate and complete.

Industry Context

This monthly account statement reflects the performance of an oil-focused commodity fund, which is inherently exposed to the volatility of global oil prices and the futures markets. The significant unrealized and realized losses suggest a challenging period for oil commodity trading during April 2025, likely due to adverse movements in the underlying oil futures contracts. Such performance is typical for commodity funds during periods of unfavorable market trends.

Comparison to Industry Standards

• The reported net loss of $(7,569,401) and a decrease in Net Asset Value from $47,767,836 to $38,396,387 indicate a challenging month for the fund. Without specific performance benchmarks or comparable fund data for April 2025, a direct assessment against industry standards is limited.
• However, the substantial unrealized and realized trading losses on commodity futures suggest that the fund's investment strategy or market positioning was negatively impacted by the prevailing commodity market conditions during the period. Performance of similar oil-tracking ETFs or commodity pools, such as USO (United States Oil Fund, LP) or BNO (United States Brent Oil Fund, LP), would be necessary for a direct comparative analysis, but such data is not provided within this document.

Stakeholder Impact

• Shareholders experienced a decrease in the Net Asset Value per share from an implied higher value at the beginning of the month to $32.00 at month-end, reflecting a decline in their investment value.
• The fund's general partner, United States Commodity Funds LLC, continues to receive management fees, which are a fixed expense regardless of fund performance.

Key Dates

Recommendation

Keywords

Oil Fund, Commodity Futures, Net Asset Value, Trading Loss, SEC Filing, 8-K, USL, United States 12 Month Oil Fund, Commodity Exchange Act, Monthly Account Statement