Traders Cooperative

[cy esp]

gt - if you are looking for long exposure to nat gas, I would suggest HGT (or EOG, CHK, HK, CXG, CRT, DMLP) as proxies that should far outperform UNG which has the option time decay working against you on the long side.

HGT is fairly liquid so it is easy to trade. HGT is a passive, very low overhead, US royalty trust that owns a royalty interest (share of revenue, no cost exposure) in 1500+ existing gas wells. It has no debt and distributes its income monthly which means a nice monthly dividend.

The divi amount tends to lag the nat gas price by 3-4 months. The price of HGT tends to match current nat gas prices similar to UNG.

I think HGT (or EOG, CHK, HK, CXG, DMLP, CRT) is a far superior way to play Nat Gas prices than UNG which I think is a scam (along with most of the double ETFs and commodity ETFs that use option contracts to mimic the commodity prices).

Cy