ETF Teucrium Corn Fund (CORN) Summary:

Profile:

Teucrium Corn Fund (CORN) is an exchange-traded fund (ETF) that tracks the price of corn futures contracts. It aims to provide investors with a way to gain exposure to the corn market without having to directly purchase and manage futures contracts. The ETF's assets are allocated entirely to corn futures contracts, offering a pure play on the price of corn.

Objective:

The primary investment goal of CORN is to track the performance of the Continuous Corn Futures Index, which reflects the price of corn futures traded on the Chicago Board of Trade. The ETF seeks to achieve its objective by holding a portfolio of corn futures contracts that closely matches the composition and weighting of the index.

Issuer:

Teucrium Trading LLC:

• Reputation and Reliability: Teucrium Trading LLC is a Commodity Trading Advisor (CTA) registered with the Commodity Futures Trading Commission (CFTC) and a member of the National Futures Association (NFA). The firm has a solid reputation in the commodities market, with over 15 years of experience in trading and managing commodity-linked investment products.
• Management: Teucrium's team comprises experienced professionals with expertise in commodities markets, portfolio management, and risk management. The ETF's portfolio is actively managed by a team of analysts who monitor market conditions and adjust the futures contracts accordingly to track the index.

Market Share:

CORN has a significant market share within the agricultural commodity ETF space, holding approximately 40-45% of the total assets under management in corn-focused ETFs.

Total Net Assets:

As of October 26, 2023, CORN's total net assets are approximately $250 million.

Moat:

CORN's competitive advantages include:

• Unique Strategy: It offers investors a pure exposure to corn without the complexities of directly trading futures contracts.
• Experienced Management: The ETF benefits from Teucrium's expertise in commodity trading and portfolio management.
• Liquidity: CORN enjoys high trading volume, making it readily available for purchase and sale.

Financial Performance:

The ETF's historical performance has closely tracked the price of corn, with some periods of outperformance and underperformance compared to the benchmark index.

Benchmark Comparison:

CORN's performance has generally been in line with the Continuous Corn Futures Index, demonstrating its effectiveness in tracking the underlying commodity price.

Growth Trajectory:

The future growth of the ETF is tied to the demand and price of corn. Factors like global population growth, rising demand for livestock feed, and biofuel production could drive future corn consumption, potentially benefiting CORN.

Liquidity:

Average Trading Volume: The average daily trading volume for CORN is around 300,000 shares, indicating good liquidity and ease of buying and selling the ETF. Bid-Ask Spread: The bid-ask spread for CORN is typically tight, ranging between $0.01 and $0.03, suggesting low transaction costs.

Market Dynamics:

Factors affecting CORN's market environment include:

• Global Grain Supply and Demand: Supply and demand dynamics in the global corn market significantly influence corn prices and consequently impact CORN.
• Weather Conditions: Favorable or unfavorable weather conditions in key corn-growing regions can affect harvests and impact corn prices.
• Economic Growth and Trade Policies: Global economic growth and trade policies influence the demand for agricultural commodities like corn.

Competitors:

Key competitors of CORN include:

• **DBA - Invesco DB Agriculture Fund (18-19% market share)
• **JJG - iPath Bloomberg Grains Subindex Total Return ETN (15-17% market share)

Expense Ratio:

The expense ratio of CORN is 1.09%, which includes management fees and other operational costs.

Investment Approach & Strategy:

• Strategy: CORN passively tracks the Continuous Corn Futures Index, aiming to replicate its performance.
• Composition: The ETF exclusively holds corn futures contracts traded on the Chicago Board of Trade.

Key Points:

• Provides pure exposure to the corn market.
• Actively managed by experienced professionals.
• Highly liquid with low trading costs.
• Offers diversification across different corn futures contracts.

Risks:

• Volatility: CORN's price closely follows the price of corn, which is inherently volatile due to factors like weather, supply, and demand.
• Market Risk: CORN's performance is directly tied to the corn market's overall performance. Negative market conditions could lead to losses for the ETF.
• Counterparty Risk: The ETF relies on counterparties for the fulfillment of futures contracts, and any default by a counterparty could lead to losses.

Who Should Consider Investing:

• Investors seeking exposure to the corn market without directly trading futures.
• Individuals with a positive outlook on the future of corn prices.
• Investors aiming to diversify their portfolios with an uncorrelated asset class.

Fundamental Rating Based on AI and Justification

An AI-based system rates Teucrium Corn Fund's fundamentals as 7 out of 10. This rating considers factors like:

• Financial health: Strong, with low expense ratio and efficient portfolio management.
• Market position: Leading market share in corn-focused ETFs, demonstrating investor trust.
• Future prospects: Growth potential tied to global demand and corn price trends.

The 7 rating reflects a balance between CORN's strengths (liquidity, experienced management) and its inherent volatility and dependence on market conditions.

Resources and Disclaimers:

This summary uses data and information from the following sources:

• Teucrium Trading LLC website: https://www.teucrium.com/
• ETF.com: https://www.etf.com/
• Bloomberg Terminal

Disclaimer: This summary is intended for informational purposes only and should not be considered investment advice. Investing in ETFs involves risks, and investors should conduct thorough research and consider their individual investment objectives before making any decisions.

Please note that the information presented in this analysis is based on publicly available data up to October 26, 2023. The market and economic conditions may have changed since then, so it is crucial to consult up-to-date information and conduct further research before making any investment decisions.