Invesco DB Agriculture Fund Files 10-K for Fiscal Year Ended December 31, 2023

TL;DR

<b>Invesco DB Agriculture Fund (DBA) has submitted its 2023 10-K, detailing commodity futures, U.S. Treasury holdings, and affiliated investments.</b>

AI Summary

INVESCO DB AGRICULTURE FUND (DBA) filed a Annual Report (10-K) with the SEC on February 23, 2024. The Invesco DB Agriculture Fund (DBA) filed its 10-K for the fiscal year ending December 31, 2023. The filing details various commodity futures contracts, including open long futures contracts for CME Lean Hogs (exp. Feb 2024), NYB-ICE Coffee (exp. Mar 2024), and NYB-ICE Sugar (exp. Jun 2024). It also mentions holdings in U.S. Treasury Bills, such as a 4.285% bill due March 2, 2023. The fund's filings reference affiliated entities and investments in Exchange Traded Funds (ETFs). The report covers periods from 2020 through 2023, with specific data points for fiscal years ending December 31.

Why It Matters

For investors and stakeholders tracking INVESCO DB AGRICULTURE FUND, this filing contains several important signals. This 10-K provides a comprehensive overview of the fund's holdings and financial activities for the fiscal year 2023, offering insights into its commodity exposure and investment strategies. Investors can analyze the fund's specific commodity futures positions and U.S. Treasury holdings to understand its risk profile and potential performance drivers in the agricultural and broader commodity markets.

Risk Assessment

Risk Level: medium — INVESCO DB AGRICULTURE FUND shows moderate risk based on this filing. The fund's exposure to commodity futures and U.S. Treasury obligations introduces market volatility and interest rate risks, as evidenced by the specific contracts and securities mentioned in the filing.

Analyst Insight

Review the specific commodity futures contracts and their expiration dates to assess the fund's short-term market exposure and potential price fluctuations.

Key Numbers

• 2023-12-31 — Fiscal Year End (Reporting period for the 10-K)
• 2024-02-23 — Filing Date (Date the 10-K was filed)
• February -2024 — CME Lean Hogs Expiration (Specific commodity futures contract expiration)
• March -2024 — NYB-ICE Coffee Expiration (Specific commodity futures contract expiration)
• June -2024 — NYB-ICE Sugar Expiration (Specific commodity futures contract expiration)
• 4.285% — U.S. Treasury Bill Interest Rate (Specific U.S. Treasury holding detail)
• March 2, 2023 — U.S. Treasury Bill Maturity Date (Specific U.S. Treasury holding detail)

Key Players & Entities

• INVESCO DB AGRICULTURE FUND (company) — Filer name
• DBA (company) — Ticker symbol
• Invesco DB Multi-Sector Commodity Trust (company) — Former company name
• CME Lean Hogs (company) — Commodity futures contract
• NYB-ICE Coffee (company) — Commodity futures contract
• NYB-ICE Sugar (company) — Commodity futures contract
• United States Treasury Obligations (company) — Type of security
• U.S. Treasury Bill, 4.285% due March 2, 2023 (dollar_amount) — Specific U.S. Treasury holding

FAQ

Risk Factors

• Commodity Price Volatility [high — market]: The fund is subject to significant price fluctuations in agricultural commodities due to factors like weather, supply and demand, and global economic conditions.
• Interest Rate Risk [medium — financial]: Holdings in U.S. Treasury obligations are subject to interest rate risk, where changes in interest rates can affect the value of these securities.
• Counterparty Risk [medium — operational]: The fund engages in futures contracts, which carry counterparty risk, the risk that the other party to a contract may default.

Filing Documents

• dba-20231231.htm (10-K) — 2114KB
• dba-ex23_1.htm (EX-23.1) — 3KB
• dba-ex31_1.htm (EX-31.1) — 14KB
• dba-ex31_2.htm (EX-31.2) — 14KB
• dba-ex32_1.htm (EX-32.1) — 9KB
• dba-ex32_2.htm (EX-32.2) — 9KB
• dba-ex97.htm (EX-97) — 46KB
• img237653160_0.jpg (GRAPHIC) — 184KB
• img237653160_1.jpg (GRAPHIC) — 51KB
• 0000950170-24-019060.txt (&nbsp;) — 7403KB
• dba-20231231.xsd (EX-101.SCH) — 690KB
• dba-20231231_htm.xml (XML) — 1224KB

BUSINESS

BUSINESS 1 ITEM 1A.

RISK FACTORS

RISK FACTORS 7 ITEM 1B. UNRESOLVED STAFF COMMENTS 20 ITEM IC. CYBERSECURITY 20 ITEM 2.

PROPERTIES

PROPERTIES 21 ITEM 3.

LEGAL PROCEEDINGS

LEGAL PROCEEDINGS 21 ITEM 4. MINE SAFETY DISCLOSURES 21 PART II 21 ITEM 5. MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES 21 ITEM 6. RESERVED 21 ITEM 7.

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS 22 ITEM 7A.

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK 29 ITEM 8.

FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA 33 ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE 56 ITEM 9A.

CONTROLS AND PROCEDURES

CONTROLS AND PROCEDURES 56 ITEM 9B. OTHER INFORMATION 56 ITEM 9C. DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS 56 PART III 57 ITEM 10. DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE 57 ITEM 11.

EXECUTIVE COMPENSATION

EXECUTIVE COMPENSATION 59 ITEM 12.

SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS

SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS 60 ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE 60 ITEM 14. PRINCIPAL ACCOUNTANT FEES AND SERVICES 60 PART IV 61 ITEM 15. EXHIBITS AND FINANCIAL STATEMENT SCHEDULES 61 i CAUTIONARY STATEMENT CONCERNING FORWARD-LOOKING INFORMATION This Annual Report on Form 10-K (this "Report") includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), that involve substantial risks and uncertainties. The matters discussed throughout this Report that are not historical facts are forward-looking statements. These forward-looking statements are based on Invesco DB Agriculture Fund's (the "Fund") and Invesco Capital Management LLC's (the "Managing Owner") current expectations, estimates and projections about the future results, performance, prospects and opportunities of the Fund and the Fund's business and industry and their beliefs and assumptions about future events and speak only as of the date on which they are made. Words such as "anticipate," "expect," "intend," "plan," "believe," "seek," "outlook" and "estimate," as well as similar words and phrases, signify forward-looking statements. Forward-looking statements are not guarantees of future results. Future economic and industry trends that could potentially impact the Fund and its performance are difficult to predict. Conditions, risks and uncertainties in the markets for financial instruments that the Fund trades, in the markets for related physical commodities, in the legal and regulatory regimes applicable to the Managing Owner, the Fund, and the Fund's service providers, in the broader economy and in global politics may cause actual results to differ materially from those expressed by such forward-look

BUSINESS

ITEM 1. BUSINESS Introduction Invesco DB Agriculture Fund (the "Fund"), a separate series of Invesco DB Multi-Sector Commodity Trust (the "Trust"), a Delaware statutory trust organized in seven separate series, was formed on August 3, 2006. The term of the Fund is perpetual (unless terminated earlier in certain circumstances) as provided for in the Fifth Amended and Restated Declaration of Trust and Trust Agreement of the Trust, as amended (the "Trust Agreement"). The Fund has an unlimited number of shares authorized for issuance. Invesco Capital Management LLC has served as the managing owner (the "Managing Owner"), commodity pool operator and commodity trading advisor of the Trust and the Fund since February 23, 2015. The Managing Owner holds 40 general shares (the "General Shares") of the Fund. The fiscal year end of the Fund is December 31st. The Fund seeks to track changes, whether positive or negative, in the level of the DBIQ Diversified Agriculture Index Excess Return (the "Index") over time, plus the excess, if any, of the sum of the Fund's interest income from its holdings of United States Treasury Obligations ("Treasury Income"), dividends from its holdings in money market mutual funds (affiliated or otherwise) ("Money Market Income") and dividends or distributions of capital gains from its holdings of T-Bill ETFs (as defined below) ("T-Bill ETF Income") over the expenses of the Fund. The Fund invests in futures contracts in an attempt to track its Index. The Index is intended to reflect the change in market value of the agricultural sector. The commodities comprising the Index are Corn, Soybeans, Wheat, Kansas City Wheat, Sugar, Cocoa, Coffee, Cotton, Live Cattle, Feeder Cattle and Lean Hogs (each an "Index Commodity", and collectively, the "Index Commodities"). The Fund may invest directly in United States Treasury Obligations. The Fund may also gain exposure to United States Treasury Obligations through investments in exchange-traded funds ("

View Full Filing

View this 10-K filing on SEC EDGAR