CORRECTING and REPLACING Auspice Launches Commodity Evolution Strategy Focused on Energy Transition and Inflation Protection

Business Wire

3 days ago

CALGARY, Alberta--(BUSINESS WIRE)--Second paragraph and accompanying two bullets from release dated May 28, 2025 have been replaced.
The updated release reads:
AUSPICE LAUNCHES COMMODITY EVOLUTION STRATEGY FOCUSED ON ENERGY TRANSITION AND INFLATION PROTECTION
Auspice Capital Advisors ('Auspice') today announced the launch of Auspice Commodity Evolution (ACE), a tactical, ESG-aligned commodity strategy designed to deliver strong, risk-managed performance while providing sustainable inflation protection and targeted exposure to energy transition markets. ACE is the latest innovation from Auspice, drawing on a legacy of leadership in commodity ETFs, index publishing, and ESG-focused research to deliver a targeted institutional solution.
ACE was developed in partnership with Concordia University's external investment entities – the Concordia University Inter-Generational Fund (CUiF) and the Pension Plan for the Employees of Concordia University (PPECU). The strategy reflects Concordia's leadership in sustainability, including within its financial strategies.
ACE is grounded in the same long/flat trend-following framework as Auspice Broad Commodity (ABC) —the firm's largest strategy and the top-performing broad commodity index since 2010 inception. ABC has consistently outperformed major benchmarks such as the Bloomberg Commodity Index (BCOM) and S&P GSCI with lower volatility and drawdowns.
'Institutions want exposure that is opportunity-driven, risk-managed, and aligned with inflation dynamics,' said Tim Pickering, CIO and Founder of Auspice. 'ACE is our response, a purpose-built solution that combines simplicity of design with targeted commodity exposure, ESG alignment, and capital efficiency.'
'We were looking for an innovative partner who had the courage to create a new strategy that is aligned with our investment beliefs and orientations,' said Marc Gauthier, Corporate Treasurer and CIO at Concordia University. 'Auspice was that partner, and we look forward to continuing to evolve the strategy with them".
Targeted Exposure for an Evolving Commodity Landscape
ACE concentrates on commodities tied to electrification, infrastructure modernization, and decarbonization – including copper, lithium, aluminum, uranium, and ethanol. These markets are benefiting from rising structural demand, constrained supply, and alignment with global energy transition policy.
Key attributes include:
Inflation Sensitivity – Exposure to transition-linked commodities responsive to structural demand shocks.
Responsible Design – Avoids direct fossil fuel exposure and aligns with institutional ESG mandates.
Capital Efficiency – Auspice margin-to-equity ratios below 7% make ACE complementary to private market real asset allocations.
A Complementary Alternative to Traditional CTA and Real Asset Strategies
ACE differs from traditional CTAs and passive commodity benchmarks by employing a rules-based, long/flat approach – participating only when upside trends are present, and going flat otherwise. The result is a portfolio that's:
More resilient – Described as 'commodities with airbags' by one institutional partner, the long/flat approach captures upside while managing downside.
More reliable – Avoids overtrading and model complexity that can dilute exposure in strong commodity environments.
More aligned – Designed for institutions seeking exposure to real asset appreciation, not shorting of inflation-sensitive markets.
More diversifying – Maintains lower correlation to equities than traditional commodity benchmarks.
More cost-effective – Minimizes trading costs, slippage, and expenses (including lower management fees and no performance fees).
ACE is currently available to institutional investors via separately managed accounts. Broader access may follow as the strategy scales.