abrdn Bloomberg All Commodity Longer Dated Strategy K-1 Free ETF (BCD US) – Portfolio Construction Methodology

The underlying Bloomberg Commodity Index 3 Month Forward Total Return provides broad, long-only futures exposure across energy, agriculture, livestock, and metals by advancing BCOM’s contract calendar three months to mitigate front-month roll frictions. Constituents span 24 futures (22 commodities) with sector and commodity caps to limit concentration (sector ≤33%, single commodity ≤15%). Base commodity weights blend trading liquidity (2/3) and world production (1/3) with a relevance filter, then are mapped to 3-month-forward contracts; rolling follows BCOM’s staged schedule applied to the shifted calendar. The index reflects futures price changes plus collateralized T-bill return (total return). Annual reweighting and rebalancing align with BCOM’s methodology, with monthly rolls by commodity according to prescribed windows. Investability and capacity are embedded via exchange-traded, highly liquid contracts and position-limit aware design.

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