What do you think about Oppenheimers Commodity Fund?

Question

What do you think about the Commodity Strategy Total Return Fund. It looks good are there better ones that you like. Morningstar only gives it 2 stars.

Answer 1

You have to keep in mind that past fund performance is not an indicator of future performance.

I have never been a fan of Morningstar. Most funds have high ratings, they are very biased in my view catering advertising fees from the industry that they rate. I would not give a Morningstar rating any creditability as a deciding factor to invest in a fund.

Commodities have broken all kinds of support levels on the charts, and unless you can go short, I would avoid them. I think the run is over now, as the global economy has greater evidence of lower demand from an economic slow down.