According to data from Lyxor, the Paris-based ETF provider owned by Société Générale, commodity funds were the most popular global ETFs in June.

Net inflows in the Lyxor ETF Commodities CRB totalled $176 million, marking a 57 per cent monthly increase, and the ETF was also popular in May with $112 million in new assets. Lyxor now manages around $1 billion globally in its commodity-based ETFs.

ETFs - exchange traded funds - are listed and traded like individual stocks and give investors access to a variety of asset classes and market indices without the investor having to hold the underlying assets.

In the UK, Lyxor’s two Broad-Based Commodities ETFs track the Reuters/Jefferies CRB and CRB Non-Energy Indices. They are both open-ended UCITS III funds and have UK Distributor Status.

The sector has grown rapidly and ETFs already typically charge a significantly lower fee than conventional index-tracking funds. Investors are increasingly attracted to ETFs because of their transparency, low cost and intraday liquidity.