Finally. Ultra, and Ultrashort Commodity ETFs Coming

Well our world just became that much more interesting and complicated ... according to an article on SeekingAlpha.com our friends over at Proshares.com will be introducing 24 commodity based ETFs

Each of the following 8 indexes will have 3 ETFs: (a) Ultra (b) Short and (c) UltraShort

• Dow Jones-AIG Commodity Index
• Dow Jones-AIG Precious Metals Index
• Dow Jones-AIG Industrial Metals Index
• Dow Jones-AIG Agriculture Index
• Gold
• Silver
• Natural Gas
• Oil

My mind is already spinning with the possibilities... it appears only to be a SEC registration now but this is essentially going to be a wonderful way to leverage away from equities (especially in times like this). Of course it also allows you many more ways to lose money if you invest incorrectly.

So we will essentially have Powershares DB Agriculture Fund (DBA) on steroids, x 8. Oye! Going to take a few months to wrap my mind around how to use these toys.

Further, it is a very nice options for those of us investing in retirement accounts.

**Let me add this caveat from the article and a popular misconception about the Ultra and Ultrashorts of any type: It is important to understand that these funds provide double the daily return of their benchmark, not double the long-term return. If gold goes up 1% today, the leveraged fund should go up 2%. But if gold rises 10% this year, there is no guarantee the fund will rise 20%. Thanks to the magic of compounding, the long-term returns do not match the 200% goal, and have tended recently to be more in the 120%-170% range.

Long Powershares DB Agriculture Fund in fund and in personal account