Disclosures

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USCI - United States Commodity Index Fund

An investment in the Shares issued by United States Commodity Index Fund® ("USCI") involves risks. Some of the risks you may face are summarized below. A more extensive discussion of the risks associated with investing directly or indirectly in USCI, appears in the Prospectus preceding or accompanying this Disclosure document.

Unlike mutual funds, commodity pools or other investment pools that generally distribute income and gains to their investors, USCI does not expect to distribute cash to shareholders. You should not invest in USCI if you will need cash distributions from USCI to pay taxes on your share of income and gains of USCI, if any, or for any other reason.

Changes in USCI's net asset value ("NAV") may not correlate with the changes in the value of its corresponding Commodity Index.

You may not be able to effectively use USCI as a way to hedge against commodity-related losses or as a way to indirectly invest in commodities if the following were to occur:

  • The Commodity Index is not designed to correlate exactly with the spot price of any commodity and this could cause the changes in the price of the Shares to substantially vary from the changes in the spot prices of commodities underlying the Benchmark Component Futures Contracts;
  • Changes in USCI's NAV do not correlate well with changes in the price of the Commodity Index;
  • Changes in the price of USCI's Shares on the NYSE Arca do not correlate perfectly with changes in the NAV of USCI's Shares;
  • Accountability levels, position limits, and daily price fluctuation limits set by the exchanges have the potential to cause a tracking error, which could cause the price of Shares to substantially vary from the price of the Commodity Index.

Investing in USCI for purposes of hedging may subject you to risks, including the possibility of losing the benefit of favorable market movements.

The price relationship between the Commodity Index at any point in time and the Futures Contracts that will become the Benchmark Component Futures Contracts on the next rebalancing date will vary and may impact both USCI's total return and the degree to which its total return tracks that of commodity price indices.

The design of the Commodity Index is such that every month it is made up of different Futures Contracts and USCI's investments must be rebalanced on an ongoing basis to reflect the changing composition of the Commodity Index. In the event of a commodity futures market where near month contracts to expire trade at a higher price than next month contracts to expire, a situation referred to as "backwardation," then absent the impact of the overall movement in commodity prices, the value of the Commodity Index would tend to rise as it approaches expiration. As a result USCI may benefit because it would be selling more expensive contracts and buying less expensive ones on an ongoing basis. Conversely, in the event of a commodity futures market where near month contracts trade at a lower price than next month contracts, a situation referred to as "contango," then absent the impact of the overall movement in commodity prices, the value of the Commodity Index would tend to decline as it approaches expiration. As a result USCI's total return may be lower than might otherwise be the case because it would be selling less expensive contracts and buying more expensive ones. The impact of backwardation and contango may cause the total return of USCI to vary significantly from the total return of other price references, such as the spot price of the commodities comprising the Commodity Index. In the event of a prolonged period of contango, and absent the impact of rising or falling commodity prices, this could have a significant negative impact on USCI's NAV and total return.

The structure and operation of USCI may involve conflicts of interest. The Sponsor has sole current authority to manage the investments and operations of USCI, which may create a conflict with the shareholders' best interests. The Sponsor may also have a conflict to the extent that its trading decisions may be influenced by the effect they would have on the United States Oil Fund, LP, the United States 12 Month Oil Fund, LP, the United States Short Oil Fund, LP, the United States Brent Oil Fund, LP, the United States Natural Gas Fund, LP, the United States 12 Month Natural Gas Fund, LP, the United States Gasoline Fund, LP, and the United States Heating Oil Fund, LP, the United States Copper Index Fund and the United States Agriculture Index Fund, the other commodity pools that it manages, or any other commodity pool the Sponsor may form and manage in the future.

  • You will have no rights to participate in the management of USCI and will have to rely on the duties and judgment of the Sponsor to manage USCI.
  • USCI pays fees and expenses that are incurred regardless of whether it is profitable.
  • If the Sponsor causes or permits USCI to become leveraged, you could lose all or substantially all of your investment if USCI's trading positions suddenly turn unprofitable.
  • USCI may invest in commodity-related investments. To the extent that these commodity-related investments are contracts individually negotiated between their parties, they may not be as liquid as Benchmark Component Futures Contracts and will expose USCI to credit risk that its counterparty may not be able to satisfy its obligations to USCI.

*Some risks listed above may be mitigated due to rules proposed by the CFTC and SEC as promulgated under the Dodd-Frank Act. For a discussion of these risks and others, please see the current Prospectus.

USAG - United States Agriculture Index Fund

An investment in the Shares issued by the United States Agriculture Index Fund® ("USAG") involves risks. Some of the risks you may face are summarized below. A more extensive discussion of the risks associated with investing directly or indirectly in USAG, appears in the Prospectus preceding or accompanying this Disclosure document.

Unlike mutual funds, commodity pools or other investment pools that generally distribute income and gains to their investors, USAG does not expect to distribute cash to shareholders. You should not invest in USAG if you will need cash distributions from USAG to pay taxes on your share of income and gains of USAG, if any, or for any other reason.

You may not be able to effectively use USAG as a way to hedge against agricultural commodity-related losses or as a way to indirectly invest in agricultural commodities if the following were to occur:

The Agriculture Index does not correlate exactly with the spot price of agricultural commodities and this could cause the changes in the price of the shares to substantially vary from the changes in the spot price of agricultural commodities underlying the Benchmark Component Agriculture Futures Contracts; Changes in USAG's net asset value ("NAV") may not correlate with the changes in the value of the Agriculture Index; Changes in the price of USAG's shares on the NYSE Arca do not correlate perfectly with changes in the NAV of USAG's shares; Accountability levels, position limits, and daily price fluctuation limits set by the Futures Exchanges have the potential to cause a tracking error, which could cause the price of shares to substantially vary from the price of the Agriculture Index. Investing in USAG for purposes of hedging may subject you to risks, including the possibility of losing the benefit of favorable market movements.

The price relationship between the Agriculture Index at any point in time and the Benchmark Component Agriculture Futures Contracts will vary and may impact both USAG's total return and the degree to which its total return tracks that of commodity price indices.

The design of the Agriculture Index is such that every month it is made up of different Benchmark Component Agriculture Futures Contracts, and USAG's investments must be rebalanced on an ongoing basis to reflect the changing composition of the Agriculture Index. In the event of a commodity futures market where near month contracts to expire trade at a higher price than next month contracts to expire, a situation referred to as "backwardation," then absent the impact of the overall movement in commodity prices, the value of the Agriculture Index would tend to rise as it approaches expiration. As a result USAG may benefit because it would be selling more expensive futures contracts and buying less expensive ones on an ongoing basis. Conversely, in the event of a commodity futures market where near month contracts trade at a lower price than next month contracts, a situation referred to as "contango," then absent the impact of the overall movement in commodity prices, the value of the Agriculture Index would tend to decline as it approaches expiration. As a result USAG's total return may be lower than might otherwise be the case because it would be selling less expensive futures contracts and buying more expensive ones. The impact of backwardation and contango may cause the total return of USAG to vary significantly from the total return of other price references, such as the spot price of the commodities comprising the Agriculture Index. In the event of a prolonged period of contango, and absent the impact of rising or falling commodity prices, this could have a significant negative impact on USAG's NAV and total return.

The breakeven point per share of $0.38 indicates the approximate dollar returns and 1.52%[1]is the percentage required for the redemption value of a hypothetical initial investment in a single share to equal the amount invested twelve months after the investment was made. For purposes of this breakeven amount, we have assumed an initial selling price of $25.00 which equals the NAV per share. This breakeven amount refers to the redemption of baskets by Authorized Purchasers and is not related to any gains an individual investor would have to achieve in order to break even. The breakeven amount is an approximation only.

USAG has no operating history, so there is no performance history to serve as a basis for you to evaluate an investment in USAG.

The structure and operation of USAG may involve conflicts of interest. The Sponsor has sole current authority to manage the investments and operations of USAG, which may create a conflict with the shareholders' best interests. The Sponsor may also have a conflict to the extent that its trading decisions may be influenced by the effect they would have on the United States Oil Fund, LP, The United States Natural Gas Fund, LP, the United States 12 Month Oil Fund, LP, the United States Gasoline Fund, LP, the United States Heating Oil Fund, LP, the United States Short Oil Fund, LP, the United States 12 Month Natural Gas Fund, LP, the United States Brent Oil Fund, LP and the United States Commodity Index Fund, the United States Copper Index Fund, and the other commodity pools it manages, or any other commodity pool the Sponsor may form and manage in the future.

You will have no rights to participate in the management of USAG and will have to rely on the duties and judgment of the Sponsor to manage USAG. USAG pays fees and expenses that are incurred regardless of whether it is profitable. If the Sponsor causes or permits USAG to become leveraged, you could lose all or substantially all of your investment if USAG's trading positions suddenly turn unprofitable. USAG may invest in Other Agriculture-Related Investments. To the extent that these Other Agricultural Commodity-Related Investments are contracts individually negotiated between their parties, they may not be as liquid as Benchmark Component Agriculture Futures Contracts and will expose USAG to credit risk that its counterparty may not be able to satisfy its obligations to USAG. [1]For purposes of this breakeven analysis, we have assumed that USAG has $30 million in assets. If, however, only the initial Creation Basket of USAG is sold for proceeds of $2.5 million, the amount of trading income required for the redemption value at the end of the year to equal the initial selling price of one share for USAG would be $1.75 or 7.00% of the initial selling price per share.

USO - United States Oil Fund

Description of United States Oil Fund, LP and the General Risks of the Offering

An investment in the Shares issued by the United States Oil Fund® LP (USO) involves risks. Some of the risks you may face are summarized below. A more extensive discussion of the risks associated with investing directly or indirectly in USO, appears in the Prospectus preceding or accompanying this Disclosure document.

Unlike mutual funds, commodity pools or other investment pools that manage their investments in an attempt to realize income and gains and distribute such income and gains to their investors, USO generally does not distribute cash to limited partners or other shareholders. You should not invest in USO if you will need cash distributions from USO to pay taxes on your share of income and gains of USO, if any, or for any other reason.

You may not be able to effectively use USO as a way to hedge against crude oil-related losses or as a way to indirectly invest in crude oil if the following were to occur:

  • Changes in USO's NAV may not correlate with changes in the price of the Benchmark Oil Futures Contracts;
  • The Benchmark Oil Futures Contract may not correlate with the spot price of light, sweet crude oil and this could cause changes in the price of the shares to substantially vary from the changes in the spot price of light, sweet crude oil;
  • Accountability levels, position limits, and daily price fluctuation limits set by the exchanges have the potential to cause a tracking error, which could cause the price of shares to substantially vary from the price of the Benchmark Oil Futures Contracts.

The price relationship between the near month contract to expire and the next month contract to expire that compose the Benchmark Oil Futures Contract will vary and may impact both the total return over time of USO's NAV, as well as the degree to which its total return tracks other crude oil price indices' total returns. In cases in which the near month contract's price is lower than the next month contract's price (a situation known as "contango" in the futures markets), then absent the impact of the overall movement in crude oil prices the value of the benchmark contract would tend to decline as it approaches expiration. In cases in which the near month contract's price is higher than the next month contract's price (a situation known as "backwardation" in the futures markets), then absent the impact of the overall movement in crude oil prices the value of the benchmark contract would tend to rise as it approaches expiration.

Investing in USO for purposes of hedging may subject you to risks, including the possibility of losing the benefit of favorable market movements.

The design of USO's Benchmark Oil Futures Contract is such that every month it begins by using the near month contract to expire until the near month contract is within two weeks of expiration, when, over a four day period, it transitions to the next month contract to expire as its benchmark contract and keeps that contract as its benchmark until it becomes the near month contract and close to expiration. In the event of a crude oil futures market where near month contracts trade at a higher price than next month to expire contracts, a situation described as "backwardation" in the futures market, then absent the impact of the overall movement in crude oil prices the value of the benchmark contract would tend to rise as it approaches expiration. As a result, the total return of the Benchmark Oil Futures Contract would tend to track higher. Conversely, in the event of a crude oil futures market where near month contracts trade at a lower price than next month contracts, a situation described as "contango" in the futures market, then absent the impact of the overall movement in crude oil prices the value of the benchmark contract would tend to decline as it approaches expiration. As a result, the total return of the Benchmark Oil Futures Contract would tend to track lower. When compared to total return of other price indices, such as the spot price of crude oil, the impact of backwardation and contango may lead the total return of USO's NAV to vary significantly. In the event of a prolonged period of contango, and absent the impact of rising or falling oil prices, this could have a significant negative impact on USO's NAV and total return.

The structure and operation of USO may involve conflicts of interest. For example, a conflict may arise because the General Partner and its principals and affiliates may trade for themselves. In addition, the General Partner has sole current authority to manage the investments and operations, which may create a conflict with the shareholders' best interests. The General Partner may also have a conflict to the extent that its trading decisions may be influenced by the effect they would have on the United States 12 Month Oil Fund, LP, the United States Short Oil Fund, LP, the United States Brent Oil Fund, LP, the United States Natural Gas Fund, LP, the United States 12 Month Natural Gas Fund, LP, the United States Gasoline Fund, LP, the United States Heating Oil Fund, LP, the United States Commodity Index Fund, the United States Copper Index Fund and the United States Agriculture Index Fund, the other commodity pools that it manages, or any other commodity pool the General Partner may form and manage in the future.

You will have no rights to participate in the management of USO and will have to rely on the duties and judgment of the General Partner to manage USO.

USO pays fees and expenses that are incurred regardless of whether it is profitable.

If the General Partner causes or permits USO to become leveraged, you could lose all or substantially all of your investment if USO's trading positions suddenly turn unprofitable.

USO may also invest in Other Crude Oil-Related Investments, many of which are negotiated contracts that are not as liquid as Oil Futures Contracts and expose USO to credit risk that its counterparty may not be able to satisfy its obligations to USO.

USL - United States 12 Month Oil Fund

Description of United States 12 Month Oil Fund, LP and the General Risks of the Offering

An investment in the Shares issued by the United States 12 Month Oil Fund® LP (USL), involves risks. Some of the risks you may face are summarized below. A more extensive discussion of the risks associated with investing directly or indirectly in USL, appears in the Prospectus preceding or accompanying this Disclosure document.

Unlike mutual funds, commodity pools or other investment pools that manage their investments in an attempt to realize income and gains and distribute such income and gains to their investors, USL generally does not distribute cash to limited partners or other shareholders. You should not invest in USL if you will need cash distributions from USL to pay taxes on your share of income and gains of USL, if any, or for any other reason.

You may not be able to effectively use USL as a way to hedge against crude oil-related losses or as a way to indirectly invest in crude oil if the following were to occur:

  • Changes in USL's NAV do not correlate with changes in the average of the prices of the Benchmark Oil Futures Contracts;
  • Changes in the price of shares may cause the shares to trade at a price that is above or below USL's NAV per share. Accordingly, changes in the price of shares may substantially vary from the changes in the spot price of light, sweet crude oil.
  • The Benchmark Oil Futures Contracts may not correlate with the spot price of light, sweet crude oil and this could cause changes in the price of the shares to substantially vary from the changes in the spot price of light, sweet crude oil.
  • Accountability levels, position limits, and daily price fluctuation limits set by the exchanges have the potential to cause a tracking error, which could cause the price of shares to substantially vary from the average of the prices of the Benchmark Oil Futures Contracts.

The price relationship between the near month contract to expire and the other monthly contracts that compose the Benchmark Oil Futures Contracts will vary and may impact both the total return over time of USL's NAV, as well as the degree to which its total return tracks other crude oil price indices' total returns.

Investing in USL for purposes of hedging may subject you to risks, including the possibility of losing the benefit of favorable market movements.

The design of USL's Benchmark Oil Futures Contracts consist of the near month contract to expire and the contracts for the following 11 months, except during the last two weeks of the current month when the near month contract is sold and replaced by the futures contract for the thirteenth month following the current month. In the event of a crude oil futures market where near month contracts trade at a higher price than the price of contracts that expire later in time, a situation described as "backwardation" in the futures market, then absent the impact of the overall movement in crude oil prices the value of the benchmark contract would tend to rise as it approaches expiration. As a result, the total return of the Benchmark Oil Futures Contracts would tend to track higher. Conversely, in the event of a crude oil futures market where near month contracts trade at a lower price than the price of contracts that expire later in time, a situation described as "contango" in the futures market, then absent the impact of the overall movement in crude oil prices the value of the benchmark contract would tend to decline as it approaches expiration. As a result the total return of the Benchmark Oil Futures Contracts would tend to track lower. When compared to total return of other price indices, such as the spot price of crude oil, the impact of backwardation and contango may lead the total return of USL's NAV to vary significantly. In the event of a prolonged period of contango, and absent the impact of rising or falling oil prices, this could have a significant negative impact on USL's NAV and total return. Furthermore, a portfolio that consists of twelve different monthly contracts, ranging in a "strip" from the first month to the twelfth month, will be impacted differently by contango and backwardation than a portfolio that consists of just the first month contract.

The structure and operation of USL may involve conflicts of interest. For example, a conflict may arise because the General Partner and its principals and affiliates may trade for themselves. In addition, the General Partner has sole current authority to manage the investments and operations, which may create a conflict with the shareholders' best interests. The General Partner/Sponsor may also have a conflict to the extent that its trading decisions may be influenced by the effect they would have on The General Partner may also have a conflict to the extent that its trading decisions may be influenced by the effect they would have on the United States Oil Fund, LP, the United States Short Oil Fund, LP, the United States Brent Oil Fund, LP, the United States Natural Gas Fund, LP, the United States 12 Month Natural Gas Fund, LP, the United States Gasoline Fund, LP, the United States Heating Oil Fund, LP, the United States Commodity Index Fund, the United States Copper Index Fund and the United States Agriculture Index Fund, the other commodity pools that it manages, or any other commodity pool the General Partner may form and manage in the future.

  • You will have no rights to participate in the management of USL and will have to rely on the duties and judgment of the General Partner to manage USL.
  • USL pays fees and expenses that are incurred regardless of whether it is profitable.
  • If the General Partner causes or permits USL to become leveraged, you could lose all or substantially all of your investment if USL's trading positions suddenly turn unprofitable.
  • USL may also invest in Other Crude Oil-Related Investments, many of which are negotiated contracts that are not as liquid as Oil Futures Contracts and expose USL to credit risk that its counterparty may not be able to satisfy its obligations to USL.
*Some risks listed above may be mitigated due to rules proposed by the CFTC and SEC as promulgated under the Dodd-Frank Act. For a discussion of these risks and others, please see the current Prospectus.

BNO - United States Brent Oil Fund

BNO's Investments in Crude Oil Interests

An investment in the Shares issued by the United States Brent Oil Fund® LP (BNO), involves risks. Some of the risks you may face are summarized below. A more extensive discussion of the risks associated with investing directly or indirectly in BNO, appears in the Prospectus preceding or accompanying this Disclosure document.

Unlike mutual funds, commodity pools or other investment pools that manage their investments in an attempt to realize income and gains and distribute such income and gains to their investors, BNO generally does not distribute cash to limited partners or other shareholders. You should not invest in BNO if you will need cash distributions from BNO to pay taxes on your share of income and gains of BNO, if any, or for any other reason.

You may not be able to effectively use BNO as a way to hedge against crude oil-related losses or as a way to indirectly invest in crude oil if the following were to occur:

  • Changes in BNO's NAV may not correlate with changes in the price of the Benchmark Future Contracts;
  • The Benchmark Futures Contracts may not correlate with the spot price of Brent crude oil and this could cause changes in the price of the shares to substantially vary from the changes in the spot price of crude oil;
  • Changes in the price of shares may cause the shares to trade at a price that is above or below BNO's NAV per share. Accordingly, changes in the price of shares may substantially vary from the changes in the spot price of crude oil.
  • Accountability levels, position limits, and daily price fluctuation limits set by the exchanges have the potential to cause a tracking error, which could cause the price of shares to substantially vary from the price of the Benchmark Futures Contract.

The price relationship between the near month contract to expire and the next month contract to expire that compose the Benchmark Futures Contract will vary and may impact both the total return over time of BNO's NAV, as well as the degree to which its total return tracks other crude oil price indices' total returns. In cases in which the near month contract's price is lower than the next month contract's price (a situation known as "contango" in the futures market), then absent the impact of the overall movement in crude oil prices the value of the Benchmark Futures Contract would tend to decline as it approaches expiration. In cases in which the near month contract's price is higher than the next month contract's price (a situation known as "backwardation" in the futures market), then absent the impact of the overall movement in crude oil prices the value of the Benchmark Futures Contract would tend to rise as it approaches expiration.

Investing in BNO for purposes of hedging may subject you to risks, including the possibility of losing the benefit of favorable market movements.

The design of BNO's Benchmark Futures Contract is such that every month it begins by using the near month contract to expire until the near month contract is within two weeks of expiration, when it will use the next month contract to expire as its benchmark contract and keeps that contract as its benchmark until it becomes the near month contract and close to expiration. In the event of a crude oil futures market where near month contracts trade at a higher price than next to near month to expire contracts, a situation described as "backwardation" in the futures market, then absent the impact of the overall movement in crude oil prices the value of the Benchmark Futures Contract would tend to rise as it approaches expiration. As a result, positions in the Benchmark Futures Contract would tend to track higher. Conversely, in the event of a crude oil futures market where near month contracts trade at a lower price than next to near month contracts, a situation described as "contango" in the futures market, then absent the impact of the overall movement in crude oil prices the value of the Benchmark Futures Contract would tend to decline as it approaches expiration. As a result the total return of the Benchmark Futures Contract would tend to track lower. When compared to total return of other price indices, such as the spot price of crude oil, the impact of backwardation and contango may lead the total return of BNO's NAV to vary significantly. In the event of a prolonged period of contango, and absent the impact of rising or falling crude oil prices, this could have a significant negative impact on BNO's NAV and total return.

The structure and operation of BNO may involve conflicts of interest. For example, a conflict may arise because the General Partner and its principals and affiliates may trade for themselves. In addition, the General Partner has sole current authority to manage the investments and operations, which may create a conflict with the shareholders' best interests. The General Partner may also have a conflict to the extent that its trading decisions may be influenced by the effect they would have on the United States Oil Fund, LP, the United States 12 Month Oil Fund, LP, the United States Short Oil Fund, LP, the United States Natural Gas Fund, LP, the United States 12 Month Natural Gas Fund, LP, the United States Gasoline Fund, LP, the United States Heating Oil Fund, LP, the United States Commodity Index Fund, the United States Copper Index Fund and the United States Agriculture Index Fund, the other commodity pools that it manages, or any other commodity pool the General Partner may form and manage in the future.

  • You will have no rights to participate in the management of BNO and will have to rely on the duties and judgment of the General Partner to manage BNO.
  • BNO pays fees and expenses that are incurred regardless of whether it is profitable.
  • If the General Partner causes or permits BNO to become leveraged, you could lose all or substantially all of your investment if BNO's trading positions suddenly turn unprofitable.
  • BNO may invest in Other Oil-Related Investments, many of which are negotiated contracts that are not as liquid as Futures Contracts and expose BNO to credit risk that its counterparty may not be able to satisfy its obligations to BNO.
*Some risks listed above may be mitigated due to rules proposed by the CFTC and SEC as promulgated under the Dodd-Frank Act. For a discussion of these risks and others, please see the current Prospectus.

DNO - United States Short Oil Fund

An investment in the Shares issued by United States Short Oil Fund® LP (DNO) involves risks. Some of the risks you may face are summarized below. A more extensive discussion of the risks associated with investing directly or indirectly in DNO, appears in the Prospectus preceding or accompanying this Disclosure document.

Unlike mutual funds, commodity pools or other investment pools that actively manage their investments in an attempt to realize income and gains from their investing activities and distribute such income and gains to their investors, DNO generally does not expect to distribute cash to limited partners or other shareholders. You should not invest in DNO if you will need cash distributions from DNO to pay taxes on your share of income and gains of DNO, if any, or for any other reason.

You may not be able to effectively use USL as a way to hedge against crude oil-related losses or as a way to indirectly invest in crude oil if the following were to occur:

  • Daily changes in DNO's NAV do not inversely correlate with changes in the price of the Benchmark Futures Contract.
  • The Benchmark Futures Contract may not correlate with the spot price of light, sweet crude oil and this could cause changes in the price of the shares to substantially vary from the changes in the spot price of light, sweet crude oil.
  • Accountability levels, position limits, and daily price fluctuation limits set by the exchanges have the potential to cause a tracking error, which could cause the price of shares to substantially vary from the price of the Benchmark Futures Contract and prevent investors from being able to effectively use DNO as a way to hedge against crude oil-related losses or as a way to indirectly invest in crude oil.

Investing in Crude Oil Interests subjects DNO to the risks of the crude oil industry and this could result in large fluctuations in the price of DNO's shares.

The price relationship between the near month contract to expire and the next month contract to expire that compose the Benchmark Futures Contract will vary and may impact both the total return over time of DNO's NAV, as well as the degree to which its total return tracks the inverse of the Benchmark Futures Contract. An unanticipated number of redemption requests during a short period of time could have an adverse effect on the NAV of DNO.

The design of DNO's Benchmark Futures Contract is such that every month it begins by using the near month contract to expire until the near month contract is within two weeks of expiration, when it is sold and the near month contract is replaced with the next month contract to expire as its benchmark contract and keeps that contract as its benchmark until it becomes the near month contract and close to expiration. In the event of a crude oil futures market where near month contracts trade at a higher price than next month contracts to expire, a situation described as "backwardation" in the futures market, then absent the impact of the overall movement in crude oil prices the value of the Benchmark Futures Contract would tend to rise as it approaches expiration. As a result short positions in the Benchmark Futures Contract would tend to track lower. Conversely, in the event of a crude oil futures market where near month contracts trade at a lower price than next month contracts to expire, a situation described as "contango" in the futures market, then absent the impact of the overall movement in crude oil prices the value of the Benchmark Futures Contract would tend to decline as it approaches expiration. As a result short positions in the Benchmark Futures Contract would tend to track higher. When compared to total return of other price indices, such as the spot price of crude oil, the impact of backwardation and contango may lead the total return of DNO'S NAV to vary significantly. In the event of a prolonged period of backwardation, and absent the impact of rising or falling crude oil prices, this could have a significant negative impact on DNO's NAV and total return.

The structure and operation of DNO may involve conflicts of interest. For example, a conflict may arise because the General Partner and its principals and affiliates may trade for themselves. In addition, the General Partner has sole current authority to manage the investments and operations, which may create a conflict with the shareholders' best interests. The General Partner/Sponsor may also have a conflict to the extent that its trading decisions may be influenced by the effect they would have on The General Partner may also have a conflict to the extent that its trading decisions may be influenced by the effect they would have on the United States Oil Fund, LP, the United States 12 Month Oil Fund, LP, the United States Brent Oil Fund, LP, the United States Natural Gas Fund, LP, the United States 12 Month Natural Gas Fund, LP, the United States Gasoline Fund, LP, the United States Heating Oil Fund, LP, the United States Commodity Index Fund, the United States Copper Index Fund and the United States Agriculture Index Fund, the other commodity pools that it manages, or any other commodity pool the General Partner may form and manage in the future.

  • You will have no rights to participate in the management of DNO and will have to rely on the duties and judgment of the General Partner to manage DNO.
  • DNO pays fees and expenses that are incurred regardless of whether it is profitable.
  • If the General Partner causes or permits DNO to become leveraged, you could lose all or substantially all of your investment if DNO's trading positions suddenly turn unprofitable.
  • DNO may also invest in Other Crude Oil-Related Investments, which may be individually negotiated contracts that are not as liquid as oil futures contracts and expose DNO to credit risk that its counterparty may not be able to satisfy its obligations to DNO.

*Some risks listed above may be mitigated due to rules proposed by the CFTC and SEC as promulgated under the Dodd-Frank Act. For a discussion of these risks and others, please see the current Prospectus.

UNG - United States Natural Gas Fund

An investment in the Shares issued by the United States Natural Gas Fund® LP ("UNG"), involves risks. Some of the risks you may face are summarized below. A more extensive discussion of the risks associated with investing directly or indirectly in UNG, appears in the Prospectus preceding or accompanying this Disclosure document.

Unlike mutual funds, commodity pools or other investment pools that manage their investments in an attempt to realize income and gains and distribute such income and gains to their investors, UNG generally does not distribute cash to limited partners or other shareholders. You should not invest in UNG if you will need cash distributions from UNG to pay taxes on your share of income and gains of UNG, if any, or for any other reason.

You may not be able to effectively use UNG as a way to hedge against natural gas-related losses or as a way to indirectly invest in natural gas if the following were to occur:

  • Daily changes in the price of UNG's shares on the NYSE Arca will not closely track the daily changes in the spot price of natural gas;
  • Changes in UNG's NAV may not correlate with daily changes in the price of the Benchmark Futures Contract;
  • The Benchmark Futures Contract may not correlate with the spot price of natural gas and this could cause changes in the price of the shares to substantially vary from the changes in the spot price of natural gas;
  • Changes in the price of shares may cause the shares to trade at a price that is above or below UNG's NAV per share. Accordingly, changes in the price of shares may substantially vary from the changes in the spot price of natural gas;
  • Accountability levels, position limits, and daily price fluctuation limits set by the exchanges have the potential to cause a tracking error, which could cause the price of shares to substantially vary from the price of the Benchmark Futures Contract.

Investing in UNG for purposes of hedging may subject you to risks, including the possibility of losing the benefit of favorable market movements.

The price relationship between the near month contract and the next month contract that compose the Benchmark Futures Contract will vary and may impact both the total return over time of UNG's NAV, as well as the degree to which its total return tracks other natural gas price indices' total returns.

The design of UNG's Benchmark Futures Contract is such that every month it begins by using the near month contract to expire until the near month contract is within two weeks of expiration, when, over a four-day period, it transitions to the next month contract to expire as its benchmark contract and keeps that contract as its benchmark until it becomes the near month contract and close to expiration. In the event of a natural gas futures market where near month contracts trade at a higher price than next month to expire contracts, a situation described as "backwardation" in the futures market, then absent the impact of the overall movement in natural gas prices the value of the benchmark contract would tend to rise as it approaches expiration. As a result, the total return of the Benchmark Futures Contract would tend to track higher. Conversely, in the event of a natural gas futures market where near month contracts trade at a lower price than next month contracts, a situation described as "contango" in the futures market, then absent the impact of the overall movement in natural gas prices the value of the Benchmark Futures Contract would tend to decline as it approaches expiration. As a result, the total return of the Benchmark Futures Contract would tend to track lower. When compared to total return of other price indices, such as the spot price of natural gas, the impact of backwardation and contango may lead the total return of UNG's NAV to vary significantly. In the event of a prolonged period of contango, and absent the impact of rising or falling natural gas prices, this could have a significant negative impact on UNG's NAV and total return.

The structure and operation of UNG may involve conflicts of interest. For example, a conflict may arise because the General Partner and its principals and affiliates may trade for themselves. In addition, the General Partner has sole current authority to manage the investments and operations, which may create a conflict with the shareholders' best interests. The General Partner may also have a conflict to the extent that its trading decisions may be influenced by the effect they would have on the United States Oil Fund, LP, the United States 12 Month Oil Fund, LP, the United States Short Oil Fund, LP, the United States Brent Oil Fund, LP, the United States 12 Month Natural Gas Fund, LP, the United States Gasoline Fund, LP, the United States Heating Oil Fund, LP, the United States Commodity Index Fund, the United States Copper Index Fund and the United States Agriculture Index Fund, the other commodity pools that it manages, or any other commodity pool the General Partner may form and manage in the future.

  • You will have no rights to participate in the management of UNG and will have to rely on the duties and judgment of the General Partner to manage UNG.
  • UNG pays fees and expenses that are incurred regardless of whether it is profitable.
  • If the General Partner causes or permits UNG to become leveraged, you could lose all or substantially all of your investment if UNG's trading positions suddenly turn unprofitable.
  • UNG may also invest in Other Natural Gas-Related Investments, many of which are negotiated contracts that are not as liquid as Futures Contracts and expose UNG to credit risk that its counterparty may not be able to satisfy its obligations to UNG.
*Some risks listed above may be mitigated due to rules proposed by the CFTC and SEC as promulgated under the Dodd-Frank Act. For a discussion of these risks and others, please see the current Prospectus.

UNL - United States 12 Month Natural Gas Fund

An investment in the Shares issued by the United States 12 Month Natural Gas Fund® LP ("UNL") involves risks. Some of the risks you may face are summarized below. A more extensive discussion of the risks associated with investing directly or indirectly in UNL, appears in the Prospectus preceding or accompanying this Disclosure document.

Unlike mutual funds, commodity pools or other investment pools that manage their investments in an attempt to realize income and gains and distribute such income and gains to their investors, UNL generally does not distribute cash to limited partners or other shareholders. You should not invest in UNL if you will need cash.

You may not be able to effectively use UNL as a way to hedge against natural gas-related losses or as a way to indirectly invest in natural gas if the following were to occur:

  • Changes in the price of US12NG's shares on the NYSE Arca will not closely track the changes in the spot price of natural gas;
  • Changes in UNL's NAV may not correlate with daily changes in the price of the Benchmark Futures Contract;
  • The Benchmark Futures Contract may not correlate with the spot price of natural gas and this could cause changes in the price of the shares to substantially vary from the changes in the spot price of natural gas;
  • Changes in the price of shares may cause the shares to trade at a price that is above or below UNL's NAV per share. Accordingly, changes in the price of shares may substantially vary from the changes in the spot price of natural gas;
  • Accountability levels, position limits, and daily price fluctuation limits set by the exchanges have the potential to cause a tracking error, which could cause the price of shares to substantially vary from the price of the Benchmark Futures Contract.
  • Investing in UNL for purposes of hedging may subject you to risks, including the possibility of losing the benefit of favorable market movements.

The price relationship between the near month contract and the other monthly contracts that compose the Benchmark Futures Contracts will vary and may impact both the total return over time of UNL's NAV, as well as the degree to which its total return tracks other natural gas price indices' total returns.

The design of UNL's Benchmark Futures Contracts consist of the near month contract to expire and the contracts for the following eleven months, except during the last two weeks of the current month when the near month contract is sold and replaced by the futures contract for the thirteenth month following the current month. In the event of a natural gas futures market where near month contracts trade at a higher price than the price of contracts that expire later in time, a situation described as "backwardation" in the futures market, then absent the impact of the overall movement in natural gas prices the value of the benchmark contract would tend to rise as it approaches expiration. As a result the total return of the Benchmark Futures Contract would tend to track higher. Conversely, in the event of a natural gas futures market where near month contracts trade at a lower price than the price of contracts that expire later in time, a situation described as "contango" in the futures market, then absent the impact of the overall movement in natural gas prices the value of the benchmark contract would tend to decline as it approaches expiration. As a result the total return of the Benchmark Futures Contract would tend to track lower. When compared to total return of other price indices, such as the spot price of natural gas, the impact of backwardation and contango may lead the total return of UNL's NAV to vary significantly. In the event of a prolonged period of contango, and absent the impact of rising or falling natural gas prices, this could have a significant negative impact on UNL's NAV and total return. Furthermore, a portfolio that consists of twelve different monthly contracts, ranging in a "strip" from the first month to the twelfth month, will be impacted differently by contango and backwardation than a portfolio that consists of just the first month contract.

The structure and operation of UNL may involve conflicts of interest. For example, a conflict may arise because the General Partner and its principals and affiliates may trade for themselves. In addition, the General Partner has sole current authority to manage the investments and operations, which may create a conflict with the shareholders' best interests. The General Partner may also have a conflict to the extent that its trading decisions may be influenced by the effect they would have on The General Partner may also have a conflict to the extent that its trading decisions may be influenced by the effect they would have on the United States Oil Fund, LP, the United States 12 Month Oil Fund, LP, the United States Short Oil Fund, LP, the United States Brent Oil Fund, LP, the United States Natural Gas Fund, LP, the United States Gasoline Fund, LP, the United States Heating Oil Fund, LP, the United States Commodity Index Fund, the United States Copper Index Fund and the United States Agriculture Index Fund, the other commodity pools that it manages, or any other commodity pool the General Partner may form and manage in the future.

You will have no rights to participate in the management of UNL and will have to rely on the duties and judgment of the General Partner to manage UNL. UNL pays fees and expenses that are incurred regardless of whether it is profitable. If the General Partner causes or permits UNL to become leveraged, you could lose all or substantially all of your investment if UNL's trading positions suddenly turn unprofitable. UNL may also invest in Other Natural Gas-Related Investments, many of which are negotiated contracts that are not as liquid as Futures Contracts and expose UNL to credit risk that its counterparty may not be able to satisfy its obligations to UNL. *Some risks listed above may be mitigated due to rules proposed by the CFTC and SEC as promulgated under the Dodd-Frank Act. For a discussion of these risks and others, please see the current Prospectus.

UGA - United States Gasoline Fund

An investment in the Shares issued by the United States Gasoline Fund® LP ("UGA"), involves risks. Some of the risks you may face are summarized below. A more extensive discussion of the risks associated with investing directly or indirectly in UGA, appears in the Prospectus preceding or accompanying this Disclosure document.

Unlike mutual funds, commodity pools or other investment pools that manage their investments in an attempt to realize income and gains and distribute such income and gains to their investors, UGA generally does not distribute cash to limited partners or other shareholders. You should not invest in UGA if you will need cash distributions from UGA to pay taxes on your share of income and gains of UGA, if any, or for any other reason.

You may not be able to effectively use UGA as a way to hedge against gasoline-related losses or as a way to indirectly invest in gasoline if the following were to occur:

  • Changes in UGA's NAV do not correlate with daily changes in the price of the Benchmark Futures Contract;
  • The Benchmark Futures Contract may not correlate with the spot price of gasoline and this could cause changes in the price of the shares to substantially vary from the changes in the spot price of gasoline;
  • Changes in the price of shares may cause the shares to trade at a price that is above or below UNG's NAV per share. Accordingly, changes in the price of shares may substantially vary from the changes in the spot price of natural gas.
  • Accountability levels, position limits, and daily price fluctuation limits set by the exchanges have the potential to cause a tracking error, which could cause the price of shares to substantially vary from the price of the Benchmark Futures Contract.

Investing in UGA for purposes of hedging may subject you to risks, including the possibility of losing the benefit of favorable market movements.

The price relationship between the near month contract to expire and the next month contract to expire that compose the Benchmark Futures Contract will vary and may impact both the total return over time of UGA's NAV, as well as the degree to which its total return tracks other gasoline price indices' total returns. In cases in which the near month contract's price is lower than the next month contract's price (a situation known as "contango" in the futures markets), then absent the impact of the overall movement in gasoline prices the value of the benchmark contract would tend to decline as it approaches expiration. In cases in which the near month contract's price is higher than the next month contract's price (a situation known as "backwardation" in the futures markets), then absent the impact of the overall movement in gasoline prices the value of the benchmark contract would tend to rise as it approaches expiration.

The design of UGA's Benchmark Futures Contract is such that every month it begins by using the near month contract to expire until the near month contract is within two weeks of expiration, when the near month contract is sold and replaced with the next month contract to expire. In the event of a gasoline futures market where near month contracts trade at a higher price than next month to expire contracts, a situation described as "backwardation" in the futures market, then absent the impact of the overall movement in gasoline prices the value of the benchmark contract would tend to rise as it approaches expiration. As a result the total return of the Benchmark Futures Contract would tend to track higher. Conversely, in the event of a gasoline futures market where near month contracts trade at a lower price than next month contracts, a situation described as "contango" in the futures market, then absent the impact of the overall movement in gasoline prices the value of the benchmark contract would tend to decline as it approaches expiration. As a result the total return of the Benchmark Futures Contract would tend to track lower. When compared to total return of other price indices, such as the spot price of gasoline, the impact of backwardation and contango may lead the total return of UGA's NAV to vary significantly. In the event of a prolonged period of contango, and absent the impact of rising or falling gasoline prices, this could have a significant negative impact on UGA's NAV and total return.

The structure and operation of UGA may involve conflicts of interest. For example, a conflict may arise because the General Partner and its principals and affiliates may trade for themselves. In addition, the General Partner has sole current authority to manage the investments and operations, which may create a conflict with the shareholders' best interests. The General Partner may also have a conflict to the extent that its trading decisions may be influenced by the effect they would have on the United States Oil Fund, LP, the United States 12 Month Oil Fund, LP, the United States Short Oil Fund, LP, the United States Brent Oil Fund, LP, the United States Natural Gas Fund, LP, the United States 12 Month Natural Gas Fund, LP, the United States Heating Oil Fund, LP, the United States Commodity Index Fund, the United States Copper Index Fund and the United States Agriculture Index Fund, the other commodity pools that it manages, or any other commodity pool the General Partner may form and manage in the future.

  • You will have no rights to participate in the management of UGA and will have to rely on the duties and judgment of the General Partner to manage UGA.
  • UGA pays fees and expenses that are incurred regardless of whether it is profitable.
  • If the General Partner causes or permits UGA to become leveraged, you could lose all or substantially all of your investment if UGA's trading positions suddenly turn unprofitable.
  • UGA may also invest in Other Gasoline-Related Investments, many of which are negotiated contracts that are not as liquid as Futures Contracts and expose UGA to credit risk that its counterparty may not be able to satisfy its obligations to UGA.

*Some risks listed above may be mitigated due to rules proposed by the CFTC and SEC as promulgated under the Dodd-Frank Act. For a discussion of these risks and others, please see the current Prospectus.

UHN - United States Diesel-Heating Oil Fund

An investment in the Shares issued by the United States Diesel-Heating Oil FundSM LP ("UHN"), involves risks. Some of the risks you may face are summarized below. A more extensive discussion of the risks associated with investing directly or indirectly in UHN, appears in the Prospectus preceding or accompanying this Disclosure document.

Unlike mutual funds, commodity pools or other investment pools that manage their investments in an attempt to realize income and gains and distribute such income and gains to their investors, UHN generally does not distribute cash to limited partners or other shareholders. You should not invest in UHN if you will need cash distributions from UHN to pay taxes on your share of income and gains of UHN, if any, or for any other reason.

You may not be able to effectively use UHN as a way to hedge against heating oil-related losses or as a way to indirectly invest in heating oil if the following were to occur:

  • The Benchmark Futures Contract may not correlate with the spot price of heating oil and this could cause changes in the price of the shares to substantially vary from the changes in the spot price of heating oil.;
  • Changes in UHN's NAV may not correlate with changes in the price of the Benchmark Futures Contract;
  • Changes in the price of shares may cause the shares to trade at a price that is above or below UHN's NAV per share. Accordingly, changes in the price of shares may substantially vary from the changes in the spot price of heating oil.
  • Accountability levels, position limits, and daily price fluctuation limits set by the exchanges have the potential to cause a tracking error, which could cause the price of shares to substantially vary from the price of the Benchmark Futures Contract.

Investing in UHN for purposes of hedging may subject you to risks, including the possibility of losing the benefit of favorable market movements.

The price relationship between the near month contract to expire and the next month contract to expire that compose the Benchmark Futures Contract will vary and may impact both the total return over time of UHN's NAV, as well as the degree to which its total return tracks other heating oil price indices' total returns. In cases in which the near month contract's price is lower than the next month contract's price (a situation known as "contango" in the futures markets), then absent the impact of the overall movement in heating oil prices the value of the benchmark contract would tend to decline as it approaches expiration. In cases in which the near month contract's price is higher than the next month contract's price (a situation known as "backwardation" in the futures markets), then absent the impact of the overall movement in heating oil prices the value of the benchmark contract would tend to rise as it approaches expiration.

The design of UHN's Benchmark Futures Contract is such that every month it begins by using the near month contract to expire until the near month contract is within two weeks of expiration, when it will use the next month contract to expire as its benchmark contract and keeps that contract as its benchmark until it becomes the near month contract and close to expiration. In the event of a heating oil futures market where near month contracts trade at a higher price than next month to expire contracts, a situation described as "backwardation" in the futures market, then absent the impact of the overall movement in heating oil prices the value of the benchmark contract would tend to rise as it approaches expiration. As a result, the total return of the Benchmark Futures Contract would tend to track higher. Conversely, in the event of a heating oil futures market where near month contracts trade at a lower price than next month contracts, a situation described as "contango" in the futures market, then absent the impact of the overall movement in heating oil prices the value of the benchmark contract would tend to decline as it approaches expiration. As a result the total return of the Benchmark Futures Contract would tend to track lower. When compared to total return of other price indices, such as the spot price of heating oil, the impact of backwardation and contango may lead the total return of UHN's NAV to vary significantly. In the event of a prolonged period of contango, and absent the impact of rising or falling heating oil prices, this could have a significant negative impact on UHN's NAV and total return.

The structure and operation of UHN may involve conflicts of interest. For example, a conflict may arise because the General Partner and its principals and affiliates may trade for themselves. In addition, the General Partner has sole current authority to manage the investments and operations, which may create a conflict with the shareholders' best interests. The General Partner may also have a conflict to the extent that its trading decisions may be influenced by the effect they would have on the United States Oil Fund, LP, the United States 12 Month Oil Fund, LP, the United States Short Oil Fund, LP, the United States Brent Oil Fund, LP, the United States Natural Gas Fund, LP, the United States 12 Month Natural Gas Fund, LP, the United States Gasoline Fund, LP, the United States Commodity Index Fund, the United States Copper Index Fund and the United States Agriculture Index Fund, the other commodity pools that it manages, or any other commodity pool the General Partner may form and manage in the future.

  • You will have no rights to participate in the management of UHN and will have to rely on the duties and judgment of the General Partner to manage UHN.
  • UHN pays fees and expenses that are incurred regardless of whether it is profitable.
  • If the General Partner causes or permits UHN to become leveraged, you could lose all or substantially all of your investment if UHN's trading positions suddenly turn unprofitable.
  • UHN may also invest in Other Heating Oil-Related Investments, many of which are negotiated contracts that are not as liquid as Heating Oil Futures Contracts and expose UHN to credit risk that its counterparty may not be able to satisfy its obligations to UHN.
  • *Some risks listed above may be mitigated due to rules proposed by the CFTC and SEC as promulgated under the Dodd-Frank Act. For a discussion of these risks and others, please see the current Prospectus.

CPER - United States Copper Index Fund

An investment in the Shares issued by the United States Copper Index Fund® ("CPER") involves risks. Some of the risks you may face are summarized below. A more extensive discussion of the risks associated with investing directly or indirectly in CPER, appears in the Prospectus preceding or accompanying this Disclosure document.

Unlike mutual funds, commodity pools or other investment pools that generally distribute income and gains to their investors, CPER does not expect to distribute cash to shareholders. You should not invest in CPER if you will need cash distributions from CPER to pay taxes on your share of income and gains of CPER, if any, or for any other reason.

Changes in CPER's net asset value ("NAV") may not correlate with the changes in the value of the Copper Index.

You may not be able to effectively use CPER as a way to hedge against copper-related losses or as a way to indirectly invest in copper if the following were to occur:

  • The Copper Index does not correlate exactly with the spot price of copper and this could cause the changes in the price of the Shares to substantially vary from the changes in the spot price of copper underlying the Benchmark Component Copper Futures Contract;
  • Changes in CPER's NAV do not correlate with changes in the value of the Copper Index;
  • Changes in the price of CPER's Shares on the NYSE Arca do not correlate perfectly with changes in the NAV of CPER's Shares;
  • Accountability levels, position limits, and daily price fluctuation limits set by the Futures Exchanges have the potential to cause a tracking error, which could cause the price of Shares to substantially vary from the price of the Copper Index.

Investing in CPER for purposes of hedging may subject you to risks, including the possibility of losing the benefit of favorable market movements.

The price relationship between the Copper Index at any point in time and the Eligible Copper Futures Contracts that will become the Benchmark Component Copper Futures Contracts on the next rebalancing date will vary and may impact both CPER's total return and the degree to which its total return tracks that of commodity price indices.

The design of the Copper Index is such that every month it is made up of different Benchmark Component Copper Futures Contracts, and CPER's investments must be rebalanced on an ongoing basis to reflect the changing composition of the Copper Index. In the event of a commodity futures market where near month contracts to expire trade at a higher price than next month contracts to expire, a situation referred to as "backwardation," then absent the impact of the overall movement in commodity prices, the value of the Copper Index would tend to rise as it approaches expiration. As a result CPER may benefit because it would be selling more expensive contracts and buying less expensive ones on an ongoing basis. Conversely, in the event of a commodity futures market where near month contracts trade at a lower price than next month contracts, a situation referred to as "contango," then absent the impact of the overall movement in commodity prices, the value of the Copper Index would tend to decline as it approaches expiration. As a result CPER's total return may be lower than might otherwise be the case because it would be selling less expensive contracts and buying more expensive ones. The impact of backwardation and contango may cause the total return of CPER to vary significantly from the total return of other price references, such as the spot price of the commodities comprising the Copper Index. In the event of a prolonged period of contango, and absent the impact of rising or falling commodity prices, this could have a significant negative impact on CPER's NAV and total return.

The breakeven point per share of $0.37 indicates the approximate dollar returns and 1.48% is the percentage required for the redemption value of a hypothetical initial investment in a single share to equal the amount invested twelve months after the investment was made. For purposes of this breakeven amount, we have assumed an initial selling price of $25.00 which equals the NAV per share. This breakeven amount refers to the redemption of baskets by Authorized Purchasers and is not related to any gains an individual investor would have to achieve in order to break even. The breakeven amount is an approximation only.

CPER has no operating history, so there is no performance history to serve as a basis for you to evaluate an investment in CPER.

The structure and operation of CPER may involve conflicts of interest. The Sponsor has sole current authority to manage the investments and operations of CPER, which may create a conflict with the shareholders' best interests. The Sponsor may also have a conflict to the extent that its trading decisions may be influenced by the effect they would have on the United States Oil Fund, LP, The United States Natural Gas Fund, LP, the United States 12 Month Oil Fund, LP, the United States Gasoline Fund, LP, the United States Heating Oil Fund, LP, the United States Short Oil Fund, LP, the United States 12 Month Natural Gas Fund, LP, the United States Brent Oil Fund, LP and the United States Commodity Index Fund, the United States Agriculture Index Fund, the other commodity pools it manages, or any other commodity pool the Sponsor may form in the future.

  • You will have no rights to participate in the management of CPER and will have to rely on the duties and judgment of the Sponsor to manage CPER.
  • CPER pays fees and expenses that are incurred regardless of whether it is profitable.
  • If the Sponsor causes or permits CPER to become leveraged, you could lose all or substantially all of your investment if CPER's trading positions suddenly turn unprofitable.
  • CPER may invest in Other Copper-Related Investments. To the extent that these Other Copper-Related Investments are contracts individually negotiated between their parties, they may not be as liquid as Benchmark Component Copper Futures Contracts and will expose CPER to credit risk that its counterparty may not be able to satisfy its obligations to CPER.

TOFR - Stock Split Index Fund

Principal Risks of Investing in the Fund. You can lose money on your investment in the Fund. The Fund is subject to the risks described below. Some or all of these risks may adversely affect the Fund’s net asset value per share ("NAV"), trading price, yield, total return and/or ability to meet its objectives. For more information about the risks of investing in the Fund, see the section in the Fund’s Prospectus titled "Additional Investment Objective, Strategy and Risk Information."

Investment Risk. As with all investments, an investment in the Fund is subject to investment risk. Investors in the Fund could lose money, including the possible loss of the entire principal amount of an investment, over short or long periods of time. Moreover, an investment in the Fund is not a bank deposit and it is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency.

Investment Strategy Risks. The Fund’s investment strategy is to invest in the stocks included in the Index, as noted in the Principal Investment Strategies of the Fund above. The Index consists solely of stocks that have recently experienced a stock split. Also, as noted above, the Fund may invest in other instruments, including cash, cash equivalents or money market instruments. Accordingly, the Fund’s investment strategy involves the following risks, some of which relate to the nature of the Fund (e.g., concentration and non-correlation risk), and some of which relate to the specific stock in which the Fund invests.

Passive Investment Risk. The Fund does not attempt to outperform the Index or take defensive positions in declining markets.

Concentration and Diversification Risk. The Fund’s investment strategy of investing in the stocks included in the Index may also lead to concentration risk and non-diversification risk. This is because the Fund will invest principally in stocks included in the Index without regard to whether holding a portfolio of the stocks of only thirty companies presents adequate diversification among individual companies, and without regard to whether its investments are overly-concentrated in particular asset classes or industry sectors.

Consumer Discretionary Investing. The consumer discretionary sector may be affected by changes in domestic and international economies, exchange and interest rates, worldwide demand, competition, consumers’ disposable income levels, propensity to spend and consumer preferences, social trends and marketing campaigns.

Consumer Staples Investing. The consumer staples sector consists of, for example, companies whose primary lines of business are food, beverage and other household items. This sector can be affected by, among other things, changes in price and availability of underlying commodities, rising energy prices and global economic conditions.

Financial Sector Risk. The financial sector can be significantly affected by changes in interest rates, government regulation, the rate of defaults on corporate, consumer and government debt, the availability and cost of capital, and fallout from the housing and sub-prime mortgage crisis.

Health Care Investing. The health care sector can be significantly affected by, among other things, lapsing patent protection, technological developments that make drugs obsolete, government regulation, price controls, and approvals for drugs.

Industrial Investing. The industrial sector can be significantly affected by, among other things, worldwide economic growth, supply and demand for specific products and services, rapid technological developments, international political and economic developments, environmental issues, and tax and governmental regulatory policies.

Information Technology Investing. This sector can be significantly affected by, among other things, the supply and demand for specific products and services, the pace of technological development and government regulation.

Utilities Investing. The utilities sector is subject to a number of risks, including decreases in the demand for utility company products and services, increased competition resulting from deregulation, and rising energy costs. The utilities sector also is typically sensitive to changes in interest rates.

Small-Capitalization Investing. Small-capitalization stocks typically carry additional risks since smaller companies generally have a higher risk of failure. Their stocks are subject to a greater degree of volatility, trade in lower volume and may be less liquid.

Mid-Capitalization Investing. Similar to the risks of small- capitalization stocks, mid-capitalization stocks typically carry additional risks since smaller companies generally have a higher risk of failure. Their stocks are subject to a greater degree of volatility, trade in lower volume and may be less liquid.

Large-Capitalization Investing. Large-capitalization companies may be unable to respond quickly to new competitive challenges, such as changes in technology, and also may not be able to attain the high growth rate of successful smaller companies, especially during extended periods of economic expansion.

Foreign Securities. Foreign securities, even those traded on U.S. Exchanges, are subject to different risks because the companies abroad are subject to various regulatory, legal, and tax regimes, that can have very different consequences. Also, foreign companies are much more likely to be influenced by market forces that may not impact U.S. companies. Various countries in Europe and elsewhere have continued to suffer from the financial crisis and financial markets abroad are still volatile and place extra risk and stress on foreign companies.

Cash, Cash Equivalents, and Money Market Instruments. The risk that, to the extent the Fund’s cash held in bank deposit accounts exceeds federally insured limits, the Fund could experience losses if banks fail. In addition, there is some risk that investments held in money market instruments can suffer losses. Also, at any particular time that the Fund’s assets include cash, cash equivalents and money market instruments, the Fund’s returns may inadequately track the return that could have been generated by stocks of the Index. Such a potential negative impact on correlation may be exacerbated when the prevailing interest rates differ from the return of the Index.

Market Risk. The trading prices of equity securities and other instruments fluctuate in response to a variety of factors. These factors include events impacting the entire market or specific market segments, such as political, market and economic developments, as well as events that impact specific issuers. The Fund’s NAV and market price, like security prices generally, may fluctuate significantly in response to these and other factors. As a result, an investor could lose money over short or long periods of time.

Common Stock. The market value of shares of common stock can be volatile and change quickly. Common stock has the potential for loss.

Correlation Risk. As with all index funds, the performance of the Fund may not closely track the performance of the Index for a variety of reasons.

Shares of the Fund May Trade at Prices Other Than NAV. As with all ETFs, Fund shares may be bought and sold in the secondary market at market prices. Although it is expected that the market price of the shares of the Fund will approximate the Fund’s NAV, there may be times when the market price and the NAV vary significantly. Thus, an investor may pay more (or less) than NAV when buying shares of the Fund in the secondary market, or receive more (or less) than NAV when selling those shares in the secondary market. If an investor purchases Fund shares at a time when the market price is at a premium to the NAV of the Fund’s shares or sells at a time when the market price is at a discount to the NAV of the Fund’s shares, an investor may sustain losses.

Fluctuation of Net Asset Value. The market prices of the shares will generally fluctuate in accordance with changes in NAV as well as the relative supply of and demand for the shares on the NYSE Arca, Inc. (the "Listing Exchange"). The Adviser cannot predict whether the shares will trade below, at or above their NAV.

New Fund Risk. As a new fund, there can be no assurance that the Fund will grow to or maintain an economically viable size. In this case, the Fund may experience more difficulty achieving its investment objectives or the Fund may ultimately liquidate at an inopportune time for investors. A liquidation of the Fund may also result in adverse tax consequences. The Adviser is newly-formed and has not had experience managing an equity ETF.

Secondary Market Risk. Although the Fund’s shares are listed for trading on the Listing Exchange and may be listed or traded on U.S. and non-U.S. stock exchanges other than the Listing Exchange, there can be no assurance that an active trading market for such shares will develop or be maintained. Investors buying or selling Fund shares in the secondary market will pay brokerage commissions or other charges imposed by brokers and will incur the cost of the difference between "bid" and "ask" prices of the Fund’s shares.

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