(on 24.04.2025 by Abid Mukhtar, Portfolio Manager at Commodity Capital)

Beyond surface-level causes, one factor is proving especially influential:

While the weaker US dollar may be a factor, it contributes only marginally to the recent decline in bond prices. The main reason appears to be the increased uncertainty associated with the Trump administration and the unpredictability of its political direction.

The rise in yields on US government bonds this week—particularly on Wednesday—has led to a drop in bond prices, with longer-term bonds experiencing greater losses. Investors are clearly bracing for increased volatility in 2025 and are trying to anticipate the government's next steps.

Rising yields naturally lead to falling bond prices, which negatively affects existing bond portfolios and their valuations, as we've seen in our bond fund. For investors without existing bond holdings, this could represent an attractive buying opportunity. However, for already invested investors, the recent developments are less favorable.

This tension underscores the friction between former President Trump and US Federal Reserve Chairman Jerome Powell. Trump has been vocal in calling for interest rate cuts, hoping such measures would trigger a recovery in stock and bond markets. However, such a move is likely to have only temporary effects. If the government truly wants to restore market confidence, it must make its policy direction clearer and more consistent. Sudden changes in course and strategy only further unsettle investors, which is also evident in the markets.

The US dollar has long served as the world’s reserve currency, but this period of instability could prompt global investors to consider alternatives and possibly favor European investments or other regions perceived as more stable.

We expect a highly volatile bond market in the coming year, with sharp price increases and declines. In such an environment, timing transactions—especially for bond funds—is difficult. However, the underlying securities continue to pay interest, which is positive. For long-term investors, like our bond fund, the best strategy might be to hold positions until maturity or wait for a favorable price increase before exiting—though the timing of such a recovery remains uncertain. A bumpy ride lies ahead, and strategic patience will be key.

Our Structured Solution Resource Income Fund has historically offered a strong risk/reward profile and is suitable for conservative portfolios. Weaker days could be purposefully used to build positions.

We offer the following share classes in the “Structured Solution Resource Income Fund”:

- Private Investors (EUR): ISIN: LU1510784512 | WKN: A2AT4F

- Institutional Investors (EUR): ISIN: LU1858158972

- Institutional Investors (EUR) – Clean Share Class: ISIN: LU1858159194

The Commodity Capital AG team is happy to assist you with any questions at Tel. +41 78 661 3991 or by email at info@commodity-capital.com.

Legal Disclaimer: This content is for informational purposes only and does not constitute financial advice or an investment recommendation. Please consult a qualified financial advisor before making any investment decisions and review the official prospectus and key investor information document of the fund.

Note: This text is a translation from the original language, German.

Last week's market volatility was strongly driven by political uncertainty. Markets can handle negative news – provided there is consistency. Currently, however, the environment is characterized less by clarity than by unpredictability. President Trump's approach – with frequent changes of direction, sometimes within a few hours – has undermined investors' ability to plan ahead. This inconsistency is leading to erratic movements in the major indices and their individual stocks.

At the same time, this environment is creating targeted opportunities. Stocks that had previously performed strongly and no longer offered attractive entry points are again opening up interesting possibilities as a result of price declines. For example, Aya Gold & Silver had been on our watchlist for some time. The recent market weakness allowed us to enter the stock at USD 9 – just a few days later, the stock was trading 22% higher. This confirms our approach of taking advantage of weakness in companies with high conviction.

The strong market reaction to the temporary suspension of planned tariff increases again demonstrates the extent of the uncertainty. Since I entered the capital markets in 1996, I have rarely experienced a comparable upward movement in just one day. The loss of confidence in the stability of US politics has also supported the price of gold – we expect gold mining stocks to continue to rise and to align with the strength of the underlying asset.

Even President Trump's recent comments about possible territory acquisitions – such as Greenland or parts of Canada – can hardly be explained by “national security” alone. In our view, the main issue is access to raw materials such as gold, silver, copper and other critical resources. This is a driver that should support the entire commodities sector in the long term.

The 90-day tariff delay looks like a short-term “postponement of the problem”. Our hope is that during this period the US administration will restore its credibility and reach viable, mutually beneficial agreements with trading partners.

The trade tensions between the US and China remain a key issue. Although we expect this to be resolved at a later stage, the market needs one thing above all: clarity – in the form of a timeline and the certainty that agreements will not be revoked at short notice. Stability and reliability are essential to regain trust and orderly market behavior.

– Fund Management Team, Commodity Capital

Legal Disclaimer: This content is provided for information purposes only and does not constitute financial advice or an investment recommendation. Please consult a qualified financial advisor and review the official prospectus and key information document of the fund before making an investment decision.

Note: This text is a translation from the original language, German.

We are pleased to inform you that the recording of the webinar "Golden Times in 2025?" is now available. For all those who could not attend live, this is an opportunity to learn more about the potential opportunities and developments in the gold market.

The topic of the webinar:

Anyone who invested in gold in recent years could have enjoyed significant gains, especially in 2024. New all-time highs for the precious metal unusually coincided with record highs in major stock indices as well as rising US bond yields. This could possibly reflect a vote of no confidence in the US government, with significant upward potential for 2025. In this webinar, we explore the opportunities for gold and potential beneficiaries such as exploration companies and producers.

The webinar was moderated by Frank Müller (DRESCHER & CIE AG). Michael Kopf, Head of Sales for Austria and Germany at Commodity Capital AG, provides a detailed insight into the future of raw materials, particularly precious metals and metals for technological development. Other experts and analysts share their assessments of current market developments and the long-term outlook for gold and related sectors.

You can now view the recording through the DRESCHER & CIE AG media library (available only in German): https://diefondsplattform.de/mediathek/detail/m/goldene-zeiten-in-2025

We hope you benefit from the valuable insights provided in the webinar and look forward to welcoming you to our future events.

Legal notice:
This presentation is for informational purposes only and does not constitute investment advice. Please carefully read the prospectus and KID of the funds. The content reflects the current assessment of Commodity Capital AG and may change. No liability is accepted for accuracy or completeness. Past performance is not a guarantee of future results.

Note: This text is a translation from the original language, German.

Gold has reached a new all-time high. But what does this mean for mining stocks and investors? Werner Lang from Greiff Research Institut GmbH analyzes the current market situation and provides an update on the Commodity Capital Global Mining Fund.

Which companies are benefiting most? Where does the long-term potential lie? Read the expert's in-depth assessment.

Learn more about the topic in the full article (available only in German) : https://www.smartinvestor.de/2025/03/27/commodity-capital-global-mining-fund-p/

You can find out more about our investment strategy and the fund on our website: https://www.commodity-capital.com/de/produkte

Legal notice:

This content is for informational purposes only and does not constitute financial advice or an investment recommendation. Before making an investment decision, please consult a qualified financial advisor and review the official prospectus and key investor information document for the fund.

Note: This text is a translation from the original language, German.

We are pleased to announce that the Structured Solutions Next Generation Resources Income Fund has been awarded in the "Equity Funds Commodities" category at the prestigious €uro FundAwards – The Best Funds for the 5- and 10-Year Period.

This recognition is a testament to the consistent performance and successful strategy of our fund. A heartfelt thank you goes to BÖRSE ONLINE for this acknowledgment and the opportunity to stand out among the best funds of recent years.

Learn more about the fund and its investment strategy: https://www.commodity-capital.com/de/produkte/structured-solutions-next-generation-resources-fund

Legal Disclaimer: This content is for informational purposes only and does not constitute financial advice or a recommendation. Please consult a qualified financial advisor before making any investment decisions and review the official prospectus and the key information document of the fund.

Note: This text is a translation from the original language, German.

We are delighted to announce that the Commodity Capital Global Mining Fund has been awarded 2nd place in the precious metals category for the 10-year period at the Alternative Investments Award Austria 2025 of the Austrian GELD Magazine.

This award reflects our continuous commitment and the successful strategy behind our fund. We would like to express our sincere thanks to GELD Magazine for this recognition.

We are motivated and look forward to continuing to deliver top performance and setting new standards in the field of alternative investments in the future.

Note: This text is a translation from the original language, German.

We are happy to announce that the recording of the webinar „Kann man konservativ und nahezu börsenunabhängig im Rohstoffsektor investieren?“ is now available. For those who were unable to attend live, this is an excellent opportunity to learn more about the distinctive investment strategy of Structured Solutions Resource Income Fund.

In this webinar, Michael Kopf, Head of Sales Germany and Austria at Commodity Capital AG, explains how to invest in innovative investment strategies that stabilize your portfolio while offering attractive return opportunities.

Topics in the video:

- In-depth insights into the innovative investment strategies of the Structured Solutions Resource Income Fund

- Effective diversification through commodity investments

- How to achieve stable returns in a volatile market environment

📌 Who is this video for?

Investors interested in commodities, the future of precious metals and strategic investments.

Watch the recording now on Commodity Capital's YouTube channel (available only in German): ”Kann man konservativ und nahezu börsenunabhängig im Rohstoffsektor investieren?“

Note: This text is a translation from the original language, German.

Gold, silver and lithium – three metals with a history spanning thousands of years and a crucial role in the future. While gold has traditionally served as a store of value, it is increasingly developing into a key metal for artificial intelligence (AI) and high-tech. Silver has long been indispensable for the energy transition, especially for the solar industry, while lithium is considered an essential raw material for electric mobility and energy storage.

Together, these metals are the foundation for the digital and sustainable transformation of the global economy.

Gold: from safe haven to the basis of the AI revolution

For thousands of years, gold has been considered the ultimate store of value. In times of crisis, central banks, investors and governments rely on the precious metal to hedge against inflation and geopolitical uncertainties. But in the modern world, gold has long been more than a stable store of wealth – it is a key metal for high-tech applications.

Gold in AI chips and high-performance computers

Gold's enormous conductivity and corrosion resistance make it irreplaceable for the electronics industry. It plays a central role in AI processors from NVIDIA, AMD and Intel:

- Gold-plated contacts ensure stable data transmission and maximum performance in high-performance computers.

- Servers in data centers for AI models such as ChatGPT rely on gold-based connectors.

- Quantum computers use superconducting gold circuits for the most precise calculations.

With the exponential growth of artificial intelligence, the demand for gold is also increasing rapidly. The digital revolution would be inconceivable without gold.

Silver: The underrated driving force behind the energy revolution

In addition to gold, silver also plays an essential role in future technology. While it has traditionally been regarded as a precious metal and currency reserve, today it is primarily in demand as a strategic industrial metal.

Silver in the solar industry and high technology

Silver is the most conductive metal in the world – a property that makes it indispensable for numerous applications in electronics and particularly in the solar industry. The photovoltaic industry requires silver for the production of solar cells in order to achieve maximum efficiency in energy generation.

- The massive expansion of renewable energies in China and the Middle East is significantly increasing demand for silver.

- 5G networks and modern battery technologies rely on silver-based compounds to improve conductivity.

- With increasing digitalization, the demand for highly conductive materials in the electronics industry is growing.

Since silver is mostly mined as a by-product of other mines, supply is limited – a structural shortage could drive up the price of silver in the long term.

Lithium: The fuel of electric mobility and energy storage

While gold and silver are essential for high-tech, lithium forms the backbone of electric mobility and the energy transition.

Challenges and opportunities in the lithium sector

Demand for lithium is growing rapidly, but supply can hardly keep pace. Global lithium production has increased from 200,000 tons to 1.2 million tons over the last 16 years – but it will need to double to over 2 million tons by 2030.

- Electric vehicles are the main driver of lithium demand. In China, the share of new registrations is already 33%, and growth continues unabated.

- Battery manufacturers such as CATL predict that the demand for stationary energy storage will be ten times higher in the future than for electric mobility.

- The lithium price is currently low, but in the long term there are indications of a supply shortage that could cause new highs.

Companies such as Volkswagen are already recognizing the strategic importance of lithium and are securing shares in exploration projects at an early stage to ensure their long-term supply.

Conclusion: The future belongs to the raw materials of the digital and sustainable revolution

Gold, silver and lithium are more than just valuable metals – they are essential for the technologies of the future.

- Gold not only remains a safe haven, but is increasingly becoming a key metal for AI, high-performance computers and cloud technology.

- Silver is driving the energy transition, particularly in the solar industry and 5G technology.

– Lithium is the driver for electric vehicles and energy storage – a market whose potential is far from exhausted.

Investing in these commodities is not only a hedge against economic uncertainty, but also a bet on the future of technology and energy supply. The next commodity rally could be upon us – and it will be led by gold, silver and lithium.

Note: This text is a translation from the original language, German.

We are pleased to announce that the recording of the webinar ‘Industriemetalle als Schutz gegen Stagflation?’ is now available. For those who were unable to attend live, here is an opportunity to learn more about the potential impact of impending stagflation on the commodities market.

Due to high levels of debt and increasing deglobalisation, the risk of stagflation has increased in the coming years. Historically, commodities have performed well in such phases. At the same time, there is a strategic undersupply of industrial metals, as many mining companies have invested too little in recent years. The price of gold has already risen sharply - but how much potential do other metals such as silver, copper or platinum have? And are we possibly on the brink of a new commodity supercycle?

In this webinar moderated by Paul Barthels (DRESCHER & CIE AG), Dana Kallasch, co-founder and CEO of Commodity Capital AG, gives a detailed insight into the price and demand development of commodities such as lithium and gold.

You can now watch the recording via the DRESCHER & CIE AG media centre (available only in German): "Industriemetalle als Schutz gegen Stagflation?“.

We hope that you will benefit from the findings of the webinar and look forward to welcoming you to our future events.

Note: This text is a translation from the original language, German.

We are pleased to present the recording of our webinar "Rohstoffupdate – Einblicke in den Rohstoffsektor: Aktuelle Lage & Aussichten."

Tobias Tretter, co-founder and board member of Commodity Capital AG, shared valuable insights into the current state of the commodity sector and provided a well-founded outlook on future developments in this presentation.

Watch the recording on our YouTube channel now (available only in German): https://www.youtube.com/watch?v=KqJxE0rnC4U&t=2726s

Do you have any unanswered questions? You can contact us at info@commodity-capital.com.

• Rohstoffupdate – Einblicke in den Rohstoffsektor: Aktuelle Lage und Aussichten (2.02 MB)