The best natural gas ETFs/ETCs
How to invest in natural gas using ETFs/ETCs
How can I invest in natural gas?
With ETFs you not only have the opportunity to invest in equity or bonds. You can also participate in the price development of commodities like natural gas. However, there are a few things you should know: commodity ETFs always track a whole basket of different commodities, covering at least some of the following segments:- Energy: oil and gas
- Precious metals: gold, silver and platinum
- Industrial metals: e.g. zinc and copper
- Agriculture: including wheat and coffee
- Livestock: live cattle and lean hogs
Why there are no natural gas ETFs in most European countries
There are no natural gas ETFs that are domiciled within the European Union. This is due to the regulatory framework which is defined by the UCITS directive. According to these guidelines, an index (and thus also corresponding ETFs) must always provide a minimum degree of diversification and may not consist of only one component. Consequently, regulations in the EU do not allow the launch of a natural gas ETF.If you want to invest in a single commodity like natural gas, you can do so via Exchange Traded Commodities (ETC). Please have a look at our article "What is an ETC?" for a detailed explanation of the similarities and differences between ETFs and ETCs.
Swap-based natural gas ETCs
ETCs track the value of natural gas based on futures contracts. Natural gas ETCs are backed with collateral, which is usually checked on a daily basis. The collateral is in the form of cash investments or securities with top credit standing.Natural gas ETCs are a suitable instrument for participating in the price development of natural gas. Keep in mind, however, that you are investing in futures contracts and not directly in natural gas. In this investment guide you will find all ETCs that allow you to invest in natural gas.
Bloomberg Natural Gas (EUR Hedged) performance
1 month: 12.00%
1 year: -45.10%
3 years: -81.70%
5 years: -84.62%
Natural gas ETFs/ETCs in comparison
The most important factors at a glance
When choosing a natural gas ETF or ETC one should consider several other factors in addition to the methodology of the underlying index and performance of an ETF. For better comparison, you will find a list of all natural gas ETFs/ETCs with details on size, cost, age, income, domicile and replication method ranked by fund size.
Compare all natural gas ETFs/ETCs in detail
Compare all natural gas ETFs/ETCs in a chart
| Provider ISIN | Fund size in m EUR | TER in % | Use of profits | Fund domicile | Replication method | |
|---|---|---|---|---|---|---|
| WisdomTree Natural GasJE00BN7KB334 | 117 | 0.49% p.a. | Accumulating | Jersey | Swap-based | |
| BNPP Henry Hub Erdgas (TR) ETCDE000PB6GAS5 | 19 | 0.90% p.a. | Accumulating | Netherlands | Swap-based | |
| WisdomTree Natural Gas - EUR Daily HedgedJE00B6XF0923 | 8 | 0.49% p.a. | Accumulating | Jersey | Swap-based | |
| BNPP RICI Enhanced Erdgas (TR) ETCDE000PB6R1G0 | 1 | 1.00% p.a. | Accumulating | Netherlands | Swap-based | |
| BNPP RICI Enhanced Natural Gas (ER) EUR Hedge ETCDE000PZ9REG5 | 0 | 1.20% p.a. | Accumulating | Netherlands | Swap-based | |
| BNPP RICI Enhanced Erdgas (TR) USD ETCDE000PR5RGU9 | 0 | 0.99% p.a. | Accumulating | Netherlands | Swap-based | |
| SG ETC Henry Hub Natural Gas Futures-KontraktDE000ETC0704 | - | 0.90% p.a. | Accumulating | Germany | Swap-based |
Source: justETF.com; As of 20.11.24
Return comparison of all natural gas ETFs/ETCs
The table shows the returns of all natural gas ETFs/ETCs in comparison. All return figures are including dividends as of month end. Besides the return the reference date on which you conduct the comparison is important. In order to find the best ETFs, you can also perform a chart comparison.
| ETF | 1 month in % | 3 months in % | 6 months in % | 1 year in % | 3 years in % | |
|---|---|---|---|---|---|---|
| BNPP RICI Enhanced Erdgas (TR) ETC | -6.49% | -0.55% | -10.39% | -39.55% | - | |
| BNPP RICI Enhanced Erdgas (TR) USD ETC | -6.58% | -0.69% | -10.56% | -39.67% | - | |
| BNPP RICI Enhanced Natural Gas (ER) EUR Hedge ETC | -9.21% | -0.64% | -10.09% | -40.08% | - | |
| SG ETC Henry Hub Natural Gas Futures-Kontrakt | -23.40% | -9.43% | -20.00% | -59.32% | - | |
| BNPP Henry Hub Erdgas (TR) ETC | -15.38% | -3.51% | -17.66% | -61.32% | - | |
| WisdomTree Natural Gas | -17.05% | -8.68% | -21.01% | -62.28% | -83.36% | |
| WisdomTree Natural Gas - EUR Daily Hedged | -20.00% | -7.69% | -20.00% | -62.50% | -85.45% |
| ETF | 2024 in % | 2023 in % | 2022 in % | 2021 in % | 2020 in % | |
|---|---|---|---|---|---|---|
| BNPP RICI Enhanced Erdgas (TR) ETC | -16.71% | -49.87% | - | - | - | |
| BNPP RICI Enhanced Erdgas (TR) USD ETC | -16.88% | -49.88% | - | - | - | |
| BNPP RICI Enhanced Natural Gas (ER) EUR Hedge ETC | -21.48% | -49.49% | - | - | - | |
| BNPP Henry Hub Erdgas (TR) ETC | -39.96% | -67.61% | - | - | - | |
| SG ETC Henry Hub Natural Gas Futures-Kontrakt | -40.00% | - | - | - | - | |
| WisdomTree Natural Gas | -40.80% | -67.09% | 24.77% | 37.29% | -47.42% | |
| WisdomTree Natural Gas - EUR Daily Hedged | -42.86% | -66.67% | 15.60% | 25.29% | -43.51% |
Source: justETF.com; As of 31.10.24; Calculations in EUR including dividends