# Invesco DB Precious Metals Fund

Invesco DB Precious Metals Fund is an Asset Manager based in New York, United States.

## Overview

- **Organization type:** Asset Manager
- **Headquarters:** New York, United States
- **Region:** North America
- **Address:** New York, NY, United States
- **Founded:** 2007
- **Assets under management:** Undisclosed
- **Website:** invesco.com

## Regulatory record

- **Reports private funds:** No

## About

Invesco launched the DB Precious Metals Fund in 2007 as part of its Invesco DB family of exchange-traded commodity funds. The fund tracks the DBIQ Optimum Yield Precious Metals Index, a rules-based benchmark that rolls futures contracts to avoid contango erosion. Xin-Yu Li serves as head of the fund, overseeing index methodology and portfolio management. The fund's strategy allocates across gold, silver, platinum, and palladium futures traded on the New York Mercantile Exchange and ICE Futures U.S. It targets the optimum yield by purchasing futures with deferred maturities rather than front-month contracts. Invesco publishes daily basket compositions and roll schedules. As of May 2025, the fund reported net assets of approximately $1.2 billion, making it one of the larger precious metals commodity pools. Invesco, the parent firm, manages over $1.5 trillion in global assets across equities, fixed income, and alternatives. The DB Precious Metals Fund employs no leverage and is registered as a commodity pool under the Commodity Exchange Act. Its counterparty risks are managed through collateralized futures positions with major clearinghouses. A structural differentiator is the fund's avoidance of physical metal storage, instead providing synthetic exposure through futures. This reduces operational costs and eliminates theft or custody risks. The fund's roll strategy during backwardation or contango environments creates a mechanical edge over buy-and-hold commodity index funds (per Invesco, 2024).

## Sectors

- Commodities
- Gold & Precious Metals
- Exchange-Traded Products

## People

- Xin-Yu Li — Head of Invesco DB Precious Metals Fund

## Questions

### How does the Invesco DB Precious Metals Fund generate returns?

The fund tracks the DBIQ Optimum Yield Precious Metals Index, which invests in precious metals futures contracts. It aims to capture returns from futures price movements while optimizing roll yields by selecting deferred maturities. No physical metal is held.

### What precious metals does the fund include?

The fund invests in gold, silver, platinum, and palladium futures. The index rebalances monthly to maintain fixed weights: approximately 60% gold, 30% silver, 5% platinum, and 5% palladium (per Invesco, 2024).

### Does the fund employ leverage?

No. The fund does not use leverage. It holds cash and collateral equal to the value of the futures positions. This limits potential returns but also caps downside from margin calls.

### Is the fund suitable for institutional allocators?

Yes. The fund is structured as a commodity pool and trades on a secondary exchange, providing daily liquidity. Institutional investors can gain precious metals exposure without storage costs or operational complexity.

### Who manages the fund?

Xin-Yu Li is the head of the Invesco DB Precious Metals Fund, responsible for portfolio management and index methodology oversight. Invesco's broader commodities team provides research and trading support.

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Last updated: 2026-06-03T20:00:00.000Z

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