BWET surged 1,645% on VLCC freight rates driven by the Strait of Hormuz closure, but a ceasefire could erase gains within hours.
WTI crude already dropped from $112 to $98 in one week, signaling the war premium may be softening before any formal resolution.
BWET's 3.5% expense ratio and punishing futures roll costs create structural drag that compounds losses if freight rates reverse.
Act now: the ****** yst who called NVIDIA in 2010 just named his top 10 AI stocks — and Amplify Commodity Trust didn't make the cut. Grab the names FREE today.
The Breakwave Tanker Shipping ETF (NYSEARCA:BWET) has delivered one of the most extreme returns of any U.S.-listed fund in living memory, climbing 1,645% over the past year and 836% year to date to close near $180. Investors hold BWET to bet on crude tanker freight rates through near-dated futures, mostly 90% Very Large Crude Carrier (VLCC) and 10% Suezmax contracts. The fund's gain is real, but it rests almost entirely on one event, and that is the risk worth understanding before deciding what to do with the position.
WTI crude already dropped from $112 to $98 in one week, signaling the war premium may be softening before any formal resolution.
BWET's 3.5% expense ratio and punishing futures roll costs create structural drag that compounds losses if freight rates reverse.
Act now: the ****** yst who called NVIDIA in 2010 just named his top 10 AI stocks — and Amplify Commodity Trust didn't make the cut. Grab the names FREE today.
The Breakwave Tanker Shipping ETF (NYSEARCA:BWET) has delivered one of the most extreme returns of any U.S.-listed fund in living memory, climbing 1,645% over the past year and 836% year to date to close near $180. Investors hold BWET to bet on crude tanker freight rates through near-dated futures, mostly 90% Very Large Crude Carrier (VLCC) and 10% Suezmax contracts. The fund's gain is real, but it rests almost entirely on one event, and that is the risk worth understanding before deciding what to do with the position.
3 months ago
