LBBW Rohstoffe 1

Fund commentary

Investment rationale

LBBW Rohstoffe 1 I is designed to provide indirect participation in international commodity and commodity futures markets, with the objective of achieving the highest possible capital growth at an appropriate level of risk. With a summary risk indicator of 4 and an assumed holding period of 6 years, it is positioned for investors seeking medium-risk exposure over a long-term horizon rather than short-term capital preservation. The fund is aimed at investors pursuing wealth accumulation or optimisation, with basic knowledge and experience of financial products, and who are able to bear losses up to the full invested capital. Its distinct role in a portfolio is as a satellite allocation to commodities, using derivatives on commodity indices and excluding agriculture and livestock sectors for the time being.

Investment strategy

The fund’s stated objective is to generate the highest possible capital appreciation through indirect participation in the development of international commodity and commodity futures markets. It achieves this primarily through derivatives whose underlyings are commodity indices or sub-indices, and it currently orientates itself to the LBBW-Top-10-Rohstoff-ER-Index; agriculture and livestock sectors are not currently included. In addition, the fund may invest directly in equities, fixed-income securities, convertible bonds, bonds with warrants, index certificates, participation certificates, Genussrechte and equity warrants, while the investment of cash collateral in equities and fixed-income securities seeks to take sustainability criteria into account. The fund may also use derivatives for hedging, to generate higher income, or to speculate on rising or falling prices, and it distributes income annually, generally in March, with interim distributions permitted. The recommended holding period is 6 years.

Investment philosophy

• The fund builds exposure primarily through derivatives linked to commodity indices or sub-indices, following the LBBW-Top-10-Rohstoff-ER-Index as described in the August 2026 factsheet.

• Its commodity exposure is diversified across 10 commodities, with the marketing document highlighting balanced positioning across base metals, precious metals and energy commodities and an aim to avoid concentration risk.

• Agriculture and livestock are currently excluded from the index approach, so the commodity allocation focuses instead on other sectors of the international commodity markets.

• Following the July 2026 roll, the index composition reported in the August factsheet consisted of Brent crude, gasoline, natural gas, gasoil, heating oil, aluminium, copper, zinc, gold and platinum; lead, nickel, silver, palladium, WTI and tin were not included.

• The process includes systematic maximisation of roll gains and minimisation of roll losses in futures transactions, with regular index roll dates in January, April, July and October and a stated 10% weight at each roll date that may vary between rolls.

Management team

The report names the fund manager only as the Rohstoff-Team.

The asset manager

The fund is managed by LBBW Asset Management Investmentgesellschaft mbH. The basis information document states that this management company belongs to the LBBW Group. The fund is a German UCITS contractual fund and the custodian is Landesbank Baden-Württemberg, based in Stuttgart.

Performance analysis

Source: manager factsheet dated 31 August 2026. The manager commentary states that commodity markets ended August with a marked gain, with energy and precious metals making the strongest contribution. In energy, tensions between the US and Iran, risks around passage through the Strait of Hormuz, and historically low US diesel inventories supported distillates, while in precious metals gold buying was helped by technical support around USD 4,000 per ounce and by the US Treasury’s decision to double long-dated bond buybacks; silver and platinum rose alongside gold. In base metals, copper benefited from reported supply shortages and reduced Chilean mine output linked to heavier rainfall. Following the July index rebalance, the August factsheet’s positioning included Brent replacing WTI and natural gas replacing tin, with the index composed of Brent, gasoline, natural gas, gasoil, heating oil, aluminium, copper, zinc, gold and platinum.

Strengths

A distinguishing feature of the fund is its specialised commodity-market access through derivatives on commodity indices and sub-indices rather than direct physical commodity exposure. The stated process explicitly seeks to maximise roll gains and minimise roll losses in futures positions, which is a specific structural feature within commodity investing. The strategy also spreads risk across 10 commodities and currently excludes agriculture and livestock, giving it a more targeted profile across energy, base metals and precious metals. For the I share class, the August 2026 factsheet lists a EUR 75,000 minimum investment, a current entry charge of 0.00%, an annual management fee of 0.80% and an estimated total expense ratio of 0.980%. The April 2026 KID permits an entry charge of up to 5.00%.

Risks

The fund has a risk indicator of 4 on a scale of 1 to 7, based on a 6-year holding assumption, and the documents state that early redemption can materially change the realised risk. The fund price can fall below the purchase price at any time because of commodity market price risk, and the fund is described as having elevated volatility due to its composition, with potentially substantial short-term price swings. The documents also name political risks affecting global commodity prices, currency risk on positions held in the fund, and operational risks arising from employee errors, external third parties, fraud, misunderstandings or external events such as natural catastrophes. The structure itself adds risk because the fund uses derivatives both for market exposure and potentially for hedging, return enhancement and speculation on rising or falling prices, and investors may lose all or part of their invested capital.