CPER Capital Surges 83% on Strong Commodity Futures Gains

Ticker: CPER · Form: 10-Q · Filed: Nov 7, 2025 · CIK: 1479247

Sentiment: bullish

Topics: Commodity ETFs, Copper Futures, Fund Performance, Net Income Growth, Capital Expansion, Market Risk, Investment Strategy

Related Tickers: CPER, USCI, GLD, SLV, USO, UNG

TL;DR

**CPER is crushing it with copper, buy the dip if you believe in the green transition.**

AI Summary

United States Commodity Index Funds Trust (CPER) reported a significant increase in total capital for the United States Commodity Index Fund, rising from $191,518,010 at December 31, 2024, to $272,379,434 at September 30, 2025, representing a 42.2% increase. The United States Copper Index Fund also saw substantial growth, with total capital increasing from $142,561,094 to $278,319,396 over the same period, a 95.2% jump. For the nine months ended September 30, 2025, the Trust's net income surged to $67,205,827, a 82.9% increase from $36,748,855 in the prior year. This was driven by a substantial realized gain on closed commodity futures contracts of $39,252,035 and a change in unrealized gain of $17,634,859. Total assets for the Trust grew from $334,931,201 at December 31, 2024, to $551,390,508 at September 30, 2025. Key risks include market volatility in commodity futures contracts, as evidenced by the United States Copper Index Fund's realized loss of $3,556,887 in the three months ended September 30, 2025. The strategic outlook appears focused on expanding capital through share additions, with 750,000 shares added for the Commodity Index Fund and 3,650,000 shares for the Copper Index Fund during the nine-month period.

Why It Matters

This significant capital growth, particularly the 95.2% increase in the United States Copper Index Fund's capital, signals robust investor interest and potentially strong performance in the underlying commodity markets. For investors, this indicates CPER is effectively attracting capital and managing its commodity exposures, especially in copper, which is critical for the energy transition. Employees benefit from a growing fund, suggesting stability and potential expansion. Customers gain from a larger, more liquid fund. In the broader market, CPER's performance reflects the health and demand for commodities, particularly copper, which is a bellwether for industrial activity and global economic growth, potentially outperforming competitors in the commodity ETF space.

Risk Assessment

Risk Level: medium — The Trust's income is heavily reliant on the volatile commodity futures market, as shown by the United States Copper Index Fund experiencing a realized loss of $3,556,887 in the three months ended September 30, 2025, despite overall nine-month gains. While the overall net income is positive, the potential for significant losses from adverse movements in commodity prices, such as the $9,781,512 unrealized loss on open copper futures contracts at December 31, 2024, indicates inherent market risk.

Analyst Insight

Investors should consider CPER as a potential long-term play on commodity demand, especially copper, given its strong capital growth and net income. However, they should also be prepared for short-term volatility due to the inherent nature of futures trading. Diversify commodity exposure and monitor global economic indicators impacting copper prices.

Financial Highlights

debt To Equity
N/A
revenue
$550.7M
operating Margin
N/A
total Assets
$551.4M
total Debt
$0.0M
net Income
$67.2M
eps
$7.22
gross Margin
N/A
cash Position
$505.3M
revenue Growth
+64.2%

Revenue Breakdown

SegmentRevenueGrowth
United States Commodity Index Fund$272.4M+42.2%
United States Copper Index Fund$278.3M+95.2%

Key Numbers

Key Players & Entities

FAQ

What were the key drivers of United States Commodity Index Funds Trust's net income growth in Q3 2025?

The primary drivers for the Trust's net income growth were a realized gain of $39,252,035 on closed commodity futures contracts and a change in unrealized gain of $17,634,859 for the nine months ended September 30, 2025. This contributed to a total net income of $67,205,827.

How did the United States Copper Index Fund perform compared to the overall Trust?

The United States Copper Index Fund demonstrated exceptional growth, with its total capital increasing by 95.2% from $142,561,094 at December 31, 2024, to $278,319,396 at September 30, 2025. It also reported a net income of $30,082,242 for the nine months ended September 30, 2025.

What is the current number of outstanding shares for CPER and USCI?

As of November 3, 2025, the United States Copper Index Fund (CPER) had 10,650,000 shares outstanding, and the United States Commodity Index Fund (USCI) had 3,600,000 shares outstanding, totaling 14,250,000 shares for the Trust.

What are the main risks associated with investing in United States Commodity Index Funds Trust?

The main risks stem from the volatility of commodity futures markets. For example, the United States Copper Index Fund experienced a realized loss of $3,556,887 in the three months ended September 30, 2025, and an unrealized loss of $9,781,512 on open copper futures contracts at December 31, 2024, highlighting market price fluctuation risks.

How has the Trust's total capital changed from the end of 2024 to Q3 2025?

The United States Commodity Index Funds Trust's total capital significantly increased from $334,079,104 at December 31, 2024, to $550,698,830 at September 30, 2025, reflecting substantial growth in shareholder investments and net income.

What is the net asset value per share for the United States Copper Index Fund as of September 30, 2025?

As of September 30, 2025, the net asset value per share for the United States Copper Index Fund was $29.93, with a market value per share of $30.00.

What types of commodity futures contracts does the United States Commodity Index Fund hold?

The United States Commodity Index Fund holds a diverse portfolio of long and short commodity futures contracts, including NYMEX WTI Crude Oil, CME Cattle Feeder, NYMEX NY Harbour ULSD, ICE Coffee, COMEX Silver, ICE Brent Crude, LME Aluminum, LME Tin, and LME Zinc futures.

What was the total income for the United States Commodity Index Funds Trust for the nine months ended September 30, 2025?

The total income for the United States Commodity Index Funds Trust for the nine months ended September 30, 2025, was $70,267,836, a significant increase from $39,673,264 in the same period of 2024.

How much cash and cash equivalents did the Trust hold as of September 30, 2025?

As of September 30, 2025, the United States Commodity Index Funds Trust held $495,303,781 in cash and cash equivalents, with an additional $24,624,638 in cash and cash equivalents within its trading accounts.

What is the role of the Dreyfus Institutional Preferred Government Money Market Fund in the Trust's investments?

The Dreyfus Institutional Preferred Government Money Market Fund serves as a significant cash equivalent investment for both the United States Commodity Index Fund ($170,500,000) and the United States Copper Index Fund ($126,475,000) as of September 30, 2025, providing liquidity and a yield of 4.09%.

Risk Factors

Industry Context

The commodity index fund sector is characterized by its direct exposure to the price volatility of underlying commodities. Funds like CPER aim to track broad commodity indices or specific commodity markets, attracting investors seeking diversification or exposure to inflation hedges. The competitive landscape involves numerous similar ETFs and mutual funds, with success often depending on tracking accuracy, expense ratios, and the ability to navigate volatile market conditions.

Regulatory Implications

As a registered investment company, the Trust is subject to regulations by the SEC, including reporting requirements like the 10-Q. Compliance with rules regarding disclosure of financial condition, market risks, and investment strategies is crucial. Changes in commodity regulations or tax laws could also impact the Trust's operations and investor returns.

What Investors Should Do

  1. Monitor commodity price volatility closely.
  2. Evaluate the Trust's capital growth strategy.
  3. Understand the specific commodity exposures.

Key Dates

Glossary

Commodity Futures Contracts
Standardized contracts to buy or sell a specific commodity at a predetermined price on a future date. Used for hedging and speculation. (The primary investment vehicle for the Trust and its Funds, directly impacting financial performance through realized and unrealized gains/losses.)
Realized Gain/Loss
Profit or loss resulting from the closing of a futures contract at a price different from the purchase price. (A key driver of the Trust's net income, as evidenced by the $39.2M realized gain for the nine months ended September 30, 2025.)
Unrealized Gain/Loss
The change in value of open futures contracts that have not yet been closed out. It reflects the current market valuation. (Contributes to the Trust's net income and reflects the immediate impact of market price movements on the portfolio.)
Total Capital
The total net assets of the fund available to shareholders, representing the sum of all shareholder investments and accumulated gains/losses. (Shows significant growth for both the United States Commodity Index Fund and the United States Copper Index Fund, indicating successful capital raising and/or positive investment performance.)
Net Asset Value (NAV) per Share
The value of one share of the fund, calculated by dividing the total net assets by the number of outstanding shares. (Indicates the per-share performance and value of the fund, showing an increase from $66.04 to $77.82 for the Commodity Index Fund.)

Year-Over-Year Comparison

Compared to the prior year's filing (presumably for the period ending December 31, 2024), the United States Commodity Index Funds Trust (CPER) has experienced substantial growth. Total capital for the Trust has surged from approximately $334.1M to $550.7M, a significant increase driven by substantial capital inflows into both the United States Commodity Index Fund and the United States Copper Index Fund. Net income for the nine months ended September 30, 2025, more than doubled from $36.7M to $67.2M, primarily due to strong realized gains on commodity futures contracts. Total assets have also grown considerably, reflecting the increased capital and positive market performance.

Filing Stats: 4,252 words · 17 min read · ~14 pages · Grade level 13.1 · Accepted 2025-11-07 15:23:40

Filing Documents

FINANCIAL INFORMATION

Part I. FINANCIAL INFORMATION Page

Financial Statements

Item 1. Financial Statements. 1

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations. 35

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk. 73

Controls and Procedures

Item 4. Controls and Procedures. 75

OTHER INFORMATION

Part II. OTHER INFORMATION

Legal Proceedings

Item 1. Legal Proceedings. 76

Risk Factors

Item 1A. Risk Factors. 79

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds. 79

Defaults Upon Senior Securities

Item 3. Defaults Upon Senior Securities. 80

Mine Safety Disclosures

Item 4. Mine Safety Disclosures. 80

Other Information

Item 5. Other Information. 80

Exhibits

Item 6. Exhibits. 81 Table of Contents

FINANCIAL INFORMATION

Part I. FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements. Index to Financial Statements Documents Page 2 - 4 Schedules of Investments September 30, 2025 (Unaudited) and December 31, 2024 5 - 10 11 - 13 14 - 16 17 - 19

Notes to Financial Statements (Unaudited) for the period ended September 30, 2025

Notes to Financial Statements (Unaudited) for the period ended September 30, 2025 20 - 34 1 Table of Contents United States Commodity Index Funds Trust At September 30, 2025 (Unaudited) and December 31, 2024 United States Commodity Index Fund September 30, 2025 December 31, 2024 Assets Cash and cash equivalents (at cost $ 253,581,744 and $ 177,697,621 , respectively) (Notes 2 and 6) $ 253,581,744 (a) $ 177,697,621 Equity in trading accounts: Cash and cash equivalents (at cost $ 13,135,809 and $ 8,190,855 , respectively) 13,135,809 8,190,855 Unrealized gain (loss) on open commodity futures contracts 5,090,649 5,392,339 Dividends receivable 589,302 440,048 Interest receivable 321,982 232,104 Prepaid insurance 40,371 5,293 Total Assets $ 272,759,857 $ 191,958,260 Liabilities and Capital Management fees payable (Note 4) $ 176,305 $ 128,904 Professional fees payable 190,884 301,941 Brokerage commissions payable 3,955 3,955 Directors' fees payable 9,279 5,450 Total Liabilities 380,423 440,250 Commitments and Contingencies (Notes 4, 5 & 6) Capital Sponsor — — Shareholders 272,379,434 191,518,010 Total Capital 272,379,434 191,518,010 Total Liabilities and Capital $ 272,759,857 $ 191,958,260 Shares outstanding 3,500,000 2,900,000 Net asset value per share $ 77.82 $ 66.04 Market value per share $ 77.90 $ 65.98 (a) A portion of this amount is designated to meet daily Futures Commission Merchants' margin requirements. See accompanying notes to financial statements. 2 Table of Contents United States Commodity Index Funds Trust At September 30, 2025 (Unaudited) and December 31, 2024 United States Copper Index Fund September 30, 2025 December 31, 2024 Assets Cash and cash equivalents (at cost $ 241,722,037 and $ 135,487,612 , respectively) (Notes 2 and 6) $ 241,

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