Invesco DB Commodity Index Tracking Fund 10-Q for FY2021 Q3

Invesco DB Commodity Index Tracking Fund (DBC)

10-Q 2021-11-05 For: 2021-09-30

Added on April 11, 2026

About this 10-Q

Invesco DB Commodity Index Tracking Fund filed this 10-Q on November 5, 2021, covering the quarter ended September 30, 2021 (FY2021 Q3).

Headline figures

Quarter ended September 30, 2021, as reported in this filing, compared with the same period a year earlier where the filing states it.

Net income: $114.69M; up 113.3% from net income of $53.77M a year earlier

Search and read filings like this one from Claude or ChatGPT with the SEC filings MCP server →

Delaware		32-6042243
(State or Other Jurisdiction of Incorporation or Organization)		(I.R.S. Employer Identification No.)

c/o Invesco Capital Management LLC 3500 Lacey Road, Suite 700 Downers Grove, Illinois		60515
(Address of Principal Executive Offices)		(Zip Code)


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Units of Beneficial Interest	DBC	NYSE Arca, Inc.

Large Accelerated Filer	☑	Accelerated Filer	☐
Non-Accelerated Filer	☐	Smaller reporting company	☐
		Emerging growth company	☐

			Page
PART I.		FINANCIAL INFORMATION	1

	ITEM 1.	Financial Statements	1
		Notes to Unaudited Financial Statements	10
	ITEM 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	19
	ITEM 3.	Quantitative and Qualitative Disclosures About Market Risk	28
	ITEM 4.	Controls and Procedures	31

PART II.		OTHER INFORMATION	32

	Item 1.	Legal Proceedings	32
	Item 1A.	Risk Factors	32
	Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	32
	Item 3.	Defaults Upon Senior Securities	32
	Item 4.	Mine Safety Disclosures	32
	Item 5.	Other Information	32
	Item 6.	Exhibits	33

SIGNATURES			34

	September 30,		December 31,
	2021		2020
Assets
United States Treasury Obligations, at value (cost $1,041,933,997 and $399,839,681, respectively)	$	1,041,943,669	$	399,870,102
Affiliated investments, at value (cost $1,398,670,374 and $890,598,570, respectively)		1,399,157,279		891,104,755
Other investments:
Variation margin receivable- Commodity Futures Contracts		17,331,214		3,984,163
LME Commodity Futures Contracts receivable		3,979,516		9,571,095
Unrealized appreciation on LME Commodity Futures Contracts		16,688,149		30,069,753
Cash held by custodian		—		7,541,480
Receivable for:
Dividends from affiliates		24,813		11,282
Total assets	$	2,479,124,640	$	1,342,152,630
Liabilities
Other investments:
Unrealized depreciation on LME Commodity Futures Contracts	$	2,498,079	$	—
Payable for:
Management fees		1,684,194		825,550
Brokerage commissions and fees		—		2,443
Total liabilities		4,182,273		827,993
Commitments and Contingencies (Note 10)
Equity
Shareholder's equity—General Shares		807		586
Shareholders' equity—Shares		2,474,941,560		1,341,324,051
Total shareholders' equity		2,474,942,367		1,341,324,637
Total liabilities and equity	$	2,479,124,640	$	1,342,152,630
General Shares outstanding		40		40
Shares outstanding		122,700,000		91,500,000

Net asset value per share	$	20.17	$	14.66

Market value per share	$	20.20	$	14.70

Description	Percentage of Shareholders' Equity			Value		Principal Value
United States Treasury Obligations^(a)
U.S. Treasury Bills, 0.050% due October 7, 2021 ^(b)		8.08	%	$	199,999,112	$	200,000,000
U.S. Treasury Bills, 0.050% due November 4, 2021 ^(b)		0.81			19,998,946		20,000,000
U.S. Treasury Bills, 0.045% due December 2, 2021		4.04			99,995,694		100,000,000
U.S. Treasury Bills, 0.045% due December 9, 2021		4.04			99,996,119		100,000,000
U.S. Treasury Bills, 0.040% due January 6, 2022		4.04			99,992,509		100,000,000
U.S. Treasury Bills, 0.050% due January 20, 2022		4.85			119,988,222		120,000,000
U.S. Treasury Bills, 0.050% due January 27, 2022 ^(b)		8.08			199,975,416		200,000,000
U.S. Treasury Bills, 0.055% due February 3, 2022 ^(b)		4.12			102,015,429		102,029,600
U.S. Treasury Bills, 0.050% due March 10, 2022		4.04			99,982,222		100,000,000
Total United States Treasury Obligations (cost $1,041,933,997)		42.10	%	$	1,041,943,669
Affiliated Investments						Shares
Exchange-Traded Fund
Invesco Treasury Collateral ETF (cost $192,437,689) ^(c)		7.79	%	$	192,924,594		1,825,900
Money Market Mutual Fund
Invesco Government & Agency Portfolio, Institutional Class, 0.03% (cost $1,206,232,685) ^(c)(d)		48.74			1,206,232,685		1,206,232,685
Total Affiliated Investments (cost $1,398,670,374)		56.53	%	$	1,399,157,279
Total Investments in Securities (cost $2,440,604,371)		98.63	%	$	2,441,100,948

Open Commodity Futures Contracts	Number of Contracts		Expiration Date	Notional Value		Value^(e)			Unrealized Appreciation (Depreciation)^(e)
Long Futures Contracts
CBOT Corn		4,787	September - 2022	$	126,376,800	$	58,577		$	58,577
CBOT Soybean		1,808	November - 2021		113,542,400		7,799,608			7,799,608
CBOT Wheat		2,958	July - 2022		106,709,850		3,321,169			3,321,169
COMEX Gold		689	February - 2022		121,160,650		(5,642,988	)		(5,642,988	)
COMEX Silver		270	January - 2022		29,790,450		(7,023,927	)		(7,023,927	)
ICE-UK Brent Crude		4,456	November - 2021		345,473,680		95,155,199			95,155,199
LME Aluminum		1,391	May - 2022		98,265,456		16,284,900			16,284,900
LME Copper		394	May - 2022		87,943,263		(2,498,079	)		(2,498,079	)
LME Zinc		1,011	August - 2022		75,129,938		403,249			403,249
NYB-ICE Sugar		6,373	September - 2022		133,261,979		(771,356	)		(771,356	)
NYMEX Natural Gas		3,279	April - 2022		125,388,960		42,288,881			42,288,881
NYMEX NY Harbor ULSD		3,815	May - 2022		357,088,578		38,702,952			38,702,952
NYMEX RBOB Gasoline		4,081	November - 2021		369,559,852		101,070,075			101,070,075
NYMEX WTI Crude		5,201	December - 2021		385,862,190		87,640,709			87,640,709
Total Commodity Futures Contracts						$	376,788,969		$	376,788,969

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2021			2020			2021			2020
Income
Interest Income	$	117,876		$	103,534		$	354,127		$	3,204,737
Dividends from Affiliates		79,176			160,952			250,169			2,762,551
Total Income		197,052			264,486			604,296			5,967,288
Expenses
Management Fees		5,249,498			2,137,418			13,707,909			6,300,576
Brokerage Commissions and Fees		96,418			87,241			308,375			250,603
Interest Expense		10,575			2,934			21,550			38,852
Total Expenses		5,356,491			2,227,593			14,037,834			6,590,031
Less: Waivers		(37,645	)		(235,059	)		(300,042	)		(563,933	)
Net Expenses		5,318,846			1,992,534			13,737,792			6,026,098
Net Investment Income (Loss)		(5,121,794	)		(1,728,048	)		(13,133,496	)		(58,810	)
Net Realized and Net Change in Unrealized Gain (Loss) on United States Treasury Obligations, Affiliated Investments and Commodity Futures Contracts
Net Realized Gain (Loss) on
United States Treasury Obligations		—			1,105			(2	)		150,237
Affiliated Investments		—			—			—			384,050
Commodity Futures Contracts		122,752,700			(18,219,332	)		400,584,654			(209,756,791	)
Net Realized Gain (Loss)		122,752,700			(18,218,227	)		400,584,652			(209,222,504	)
Net Change in Unrealized Gain (Loss) on
United States Treasury Obligations		22,522			11,894			(20,749	)		(230,793	)
Affiliated Investments		(19,280	)		(119,868	)		(19,280	)		216,059
Commodity Futures Contracts		(2,944,603	)		73,823,788			227,945,528			(47,238,166	)
Net Change in Unrealized Gain (Loss)		(2,941,361	)		73,715,814			227,905,499			(47,252,900	)
Net Realized and Net Change in Unrealized Gain (Loss) on United States Treasury Obligations, Affiliated Investments and Commodity Futures Contracts		119,811,339			55,497,587			628,490,151			(256,475,404	)
Net Income (Loss)	$	114,689,545		$	53,769,539		$	615,356,655		$	(256,534,214	)

	General Shares					Shares						Total
	Shares		Total Equity			Shares			Total Equity			Shareholders' Equity
Balance at June 30, 2021		40	$	769			131,200,000		$	2,523,497,476		$	2,523,498,245
Purchases of Shares							7,800,000			148,256,354			148,256,354
Redemption of Shares							(16,300,000	)		(311,501,777	)		(311,501,777	)
Net Increase (Decrease) due to Share Transactions							(8,500,000	)		(163,245,423	)		(163,245,423	)
Net Income (Loss)
Net Investment Income (Loss)				(2	)					(5,121,792	)		(5,121,794	)
Net Realized Gain (Loss) on United States Treasury Obligations, Affiliated Investments and Commodity Futures Contracts				42						122,752,658			122,752,700
Net Change in Unrealized Gain (Loss) on United States Treasury Obligations, Affiliated Investments and Commodity Futures Contracts				(2	)					(2,941,359	)		(2,941,361	)
Net Income (Loss)				38						114,689,507			114,689,545
Net Change in Shareholders' Equity		—		38			(8,500,000	)		(48,555,916	)		(48,555,878	)
Balance at September 30, 2021		40	$	807			122,700,000		$	2,474,941,560		$	2,474,942,367

	Level 1			Level 2		Level 3		Total
Investments in Securities
United States Treasury Obligations	$	—		$	1,041,943,669	$	—	$	1,041,943,669
Exchange-Traded Fund		192,924,594			—		—		192,924,594
Money Market Mutual Fund		1,206,232,685			—		—		1,206,232,685
Total Investments in Securities		1,399,157,279			1,041,943,669		—		2,441,100,948
Other Investments—Assets^(a)
Commodity Futures Contracts		392,725,319			—		—		392,725,319
Other Investments—Liabilities^(a)
Commodity Futures Contracts		(15,936,350	)		—		—		(15,936,350	)
Total Other Investments		376,788,969			—		—		376,788,969
Total Investments	$	1,775,946,248		$	1,041,943,669	$	—	$	2,817,889,917

	September 30, 2021					December 31, 2020
Risk Exposure/Derivative Type ^(a)	Assets		Liabilities			Assets		Liabilities
Commodity risk
Commodity Futures Contracts	$	392,725,319	$	(15,936,350	)	$	148,843,441	$	—

		For the Three Months Ended
	Location of Gain (Loss) on Derivatives	September 30,
Risk Exposure/Derivative Type	Recognized in Income	2021			2020
Commodity risk
Commodity Futures Contracts	Net Realized Gain (Loss)	$	122,752,700		$	(18,219,332	)
	Net Change in Unrealized Gain (Loss)		(2,944,603	)		73,823,788
Total		$	119,808,097		$	55,604,456

		For the Nine Months Ended
	Location of Gain (Loss) on Derivatives	September 30,
Risk Exposure/Derivative Type	Recognized in Income	2021		2020
Commodity risk
Commodity Futures Contracts	Net Realized Gain (Loss)	$	400,584,654	$	(209,756,791	)
	Net Change in Unrealized Gain (Loss)		227,945,528		(47,238,166	)
Total		$	628,530,182	$	(256,994,957	)

	Value 06/30/2021		Purchases at Cost		Proceeds from Sales			Change in Unrealized Appreciation (Depreciation)			Realized Gain (Loss)		Value 09/30/2021		Dividend Income
Invesco Treasury Collateral ETF	$	180,949,308	$	11,994,566	$	—		$	(19,280	)	$	—	$	192,924,594	$	1
Investments in Affiliated Money Market Funds:
Invesco Government & Agency Portfolio, Institutional Class		1,306,434,727		833,710,150		(933,912,192	)		—			—		1,206,232,685		79,175
Total	$	1,487,384,035	$	845,704,716	$	(933,912,192	)	$	(19,280	)	$	—	$	1,399,157,279	$	79,176

	Value 12/31/2020		Purchases at Cost		Proceeds from Sales			Change in Unrealized Appreciation (Depreciation)			Realized Gain (Loss)		Value 09/30/2021		Dividend Income
Invesco Treasury Collateral ETF	$	180,949,308	$	11,994,566	$	—		$	(19,280	)	$	—	$	192,924,594	$	29,300
Investments in Affiliated Money Market Funds:
Invesco Government & Agency Portfolio, Institutional Class		710,155,447		2,893,213,343		(2,397,136,105	)		—			—		1,206,232,685		220,869
Total	$	891,104,755	$	2,905,207,909	$	(2,397,136,105	)	$	(19,280	)	$	—	$	1,399,157,279	$	250,169

	Nine Months Ended
	September 30,
	2021			2020
Cash flows from operating activities:
Net Income (Loss)	$	615,356,655		$	(256,534,214	)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Cost of securities purchased		(1,445,740,189	)		(858,980,266	)
Proceeds from securities sold and matured		803,999,998			1,156,994,204
Cost of affiliated investments purchased		(2,905,207,909	)		(1,806,051,012	)
Proceeds from affiliated investments sold		2,397,136,105			1,925,717,569
Net accretion of discount on United States Treasury Obligations		(354,127	)		(3,193,929	)
Net realized (gain) loss on United States Treasury Obligations and Affiliated Investments		2			(534,287	)
Net change in unrealized (gain) loss on United States Treasury Obligations, Affiliated Investments and LME Commodity Futures Contracts		15,919,712			(13,880,463	)
Change in operating assets and liabilities:
Dividends from affiliates		(13,531	)		342,348
Variation margin - Commodity Futures Contracts		(13,347,051	)		(20,275,683	)
LME Commodity Futures Contracts		5,591,579			(3,302,935	)
Management fees		858,644			(287,500	)
Brokerage commissions and fees		(2,443	)		1,778
Net cash provided by (used in) operating activities		(525,802,555	)		120,015,610
Cash flows from financing activities:
Proceeds from purchases of Shares		1,293,138,837			255,230,466
Redemption of Shares		(774,877,762	)		(375,246,076	)
Net cash provided by (used in) financing activities		518,261,075			(120,015,610	)
Net change in cash		(7,541,480	)		—
Cash at beginning of period		7,541,480			—
Cash at end of period	$	—		$	—
Supplemental disclosure of cash flow information
Cash paid for interest	$	21,550		$	38,852

	Value 06/30/2020		Purchases at Cost		Proceeds from Sales			Change in Unrealized Appreciation (Depreciation)			Realized Gain (Loss)		Value 09/30/2020		Dividend Income
Invesco Treasury Collateral ETF	$	181,171,920	$	—	$	—		$	(119,868	)	$	—	$	181,052,052	$	131,255
Investments in Affiliated Money Market Funds:
Invesco Government & Agency Portfolio, Institutional Class		—		476,687,876		(8,923,789	)		—			—		467,764,087		1,486
Invesco Premier U.S. Government Money Portfolio, Institutional Class		336,636,283		350,716,588		(687,352,871	)		—			—		—		28,211
Total	$	517,808,203	$	827,404,464	$	(696,276,660	)	$	(119,868	)	$	—	$	648,816,139	$	160,952

	Value 12/31/2019		Purchases at Cost		Proceeds from Sales			Change in Unrealized Appreciation (Depreciation)		Realized Gain (Loss)		Value 09/30/2020		Dividend Income
Invesco Treasury Collateral ETF	$	250,383,096	$	—	$	(69,931,153	)	$	216,059	$	384,050	$	181,052,052	$	1,662,729
Investments in Affiliated Money Market Funds:
Invesco Government & Agency Portfolio, Institutional Class		—		476,687,876		(8,923,789	)		—		—		467,764,087		1,486
Invesco Premier U.S. Government Money Portfolio, Institutional Class		517,499,491		1,329,363,136		(1,846,862,627	)		—		—		—		1,098,336
Total	$	767,882,587	$	1,806,051,012	$	(1,925,717,569	)	$	216,059	$	384,050	$	648,816,139	$	2,762,551

Index Commodity	Fund Weight (%)
Aluminum		3.97	%
Brent Crude Oil		13.96
Copper Grade A		3.55
Corn		5.10
Gold		4.90
Light Sweet Crude Oil (WTI)		15.58
Natural Gas		5.07
RBOB Gasoline		14.93
Silver		1.20
Soybeans		4.59
Sugar		5.39
Ultra-Low Sulphur Diesel		14.42
Wheat		4.31
Zinc		3.03
Closing Level as of September 30, 2021:		100.00	%

	AGGREGATE RETURNS FOR INDICES IN THE DBIQ-OY DIVERSIFIED TR™
	Three Months Ended						Nine Months Ended
	September 30,						September 30,
Underlying Index	2021			2020			2021			2020
DB Aluminum Indices		13.32	%		7.25	%		39.59	%		(7.05	)%
DB Brent Crude Oil Indices		8.04			1.94			53.24			(34.89	)
DB Copper Grade A Indices		(4.57	)		10.72			16.16			6.81
DB Corn Indices		(7.84	)		(0.52	)		23.71			(15.02	)
DB Gold Indices		(1.07	)		4.14			(8.13	)		22.85
DB Light Crude Oil Indices		6.87			3.78			63.50			(32.04	)
DB Natural Gas Indices		31.11			12.52			52.97			(9.88	)
DB RBOB Gasoline Indices		6.47			8.38			60.20			(26.18	)
DB Silver Indices		(15.95	)		24.65			(16.93	)		30.35
DB Soybeans Indices		(10.21	)		16.04			13.01			4.94
DB Sugar Indices		8.63			3.33			38.44			(10.68	)
DB Ultra-Low Sulphur Diesel Indices		7.68			(4.87	)		51.54			(52.56	)
DB Wheat Indices		4.99			12.70			12.35			(2.18	)
DB Zinc Indices		(0.47	)		17.03			6.89			5.38
AGGREGATE RETURNS		5.10	%		6.60	%		38.47	%		(17.63	)%

								For the Year Ended
								December 31, 2020
Description	Net Assets		Daily Volatility			VaR* (99 Percentile)		Number of times VaR Exceeded
Invesco DB Commodity Index Tracking Fund	$	1,341,324,637		1.17	%	$	36,647,890		24

Period of Redemption	Total Number of Shares Redeemed		Average Price Paid per Share
July 1, 2021 to July 31, 2021		7,400,000	$	18.84
August 1, 2021 to August 31, 2021		—		—
September 1, 2021 to September 30, 2021		8,900,000	$	19.33
Total		16,300,000	$	19.11

31.1		Certification required under Exchange Act Rules 13a-14 and 15d-14 (filed herewith)

31.2		Certification required under Exchange Act Rules 13a-14 and 15d-14 (filed herewith)

32.1		Certification of Principal Executive Officer pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith)

32.2		Certification of Principal Financial Officer pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith)

101		Interactive data file pursuant to Rule 405 of Regulation S-T: (i) the Statements of Financial Condition of Invesco DB Commodity Index Tracking Fund – September 30, 2021 and December 31, 2020 (Unaudited), (ii) the Schedule of Investments of Invesco DB Commodity Index Tracking Fund - September 30, 2021 (Unaudited), (iii) the Schedule of Investments of Invesco DB Commodity Index Tracking Fund – December 31, 2020 (Unaudited), (iv) the Statements of Income and Expenses of Invesco DB Commodity Index Tracking Fund – For the Three and Nine Months Ended September 30, 2021 and 2020 (Unaudited), (v) the Statement of Changes in Shareholders’ Equity of Invesco DB Commodity Index Tracking Fund – For the Three Months Ended September 30, 2021 (Unaudited), (vi) the Statement of Changes in Shareholders’ Equity of Invesco DB Commodity Index Tracking Fund – For the Three Months Ended September 30, 2020 (Unaudited), (vii) the Statement of Changes in Shareholders’ Equity of Invesco DB Commodity Index Tracking Fund – For the Nine Months Ended September 30, 2021 (Unaudited), (viii) the Statement of Changes in Shareholders’ Equity of Invesco DB Commodity Index Tracking Fund – For the Nine Months Ended September 30, 2020 (Unaudited), (ix) the Statements of Cash Flows of Invesco DB Commodity Index Tracking Fund – For the Nine Months Ended September 30, 2021 and 2020 (Unaudited), and (x) Notes to Unaudited Financial Statements of Invesco DB Commodity Index Tracking Fund – September 30, 2021.

101.INS		Inline XBRL Instance Document – The instance document does not appear in the interactive data file because its XBRL tags are embedded within the Inline XBRL document

101.SCH		Inline XBRL Taxonomy Extension Schema Document

101.CAL		Inline XBRL Taxonomy Extension Calculation Linkbase Document

101.LAB		Inline XBRL Taxonomy Extension Label Linkbase Document

101.PRE		Inline XBRL Taxonomy Extension Presentation Linkbase Document

101.DEF		Inline XBRL Taxonomy Extension Definition Linkbase Document

104		The cover page of the Fund's Quarterly Report on Form 10-Q for the quarter ended September 30, 2021, formatted in Inline XBRL

	Invesco DB Commodity Index Tracking Fund

	By:	Invesco Capital Management LLC,
		its Managing Owner

Dated: November 4, 2021		By:	/S/ ANNA PAGLIA
		Name:	Anna Paglia
		Title:	Principal Executive Officer




Dated: November 4, 2021		By:	/S/ KELLI GALLEGOS
		Name:	Kelli Gallegos
		Title:	Principal Financial and Accounting Officer, Investment Pools