Invesco DB Oil Fund

What they do

The Fund is a separate series of Invesco DB Multi-Sector Commodity Trust, formed August 3, 2006, and managed by Invesco Capital Management LLC as managing owner, commodity pool operator and commodity trading advisor. It seeks to track changes in the DBIQ Optimum Yield Crude Oil Index Excess Return, plus interest income from U.S. Treasury Obligations, money market mutual fund dividends and T-Bill ETF income, less expenses. The Index reflects the economic performance of crude oil futures; effective November 10, 2025, the single index commodity is Light, Sweet Crude Oil (WTI). Shares are offered only to Authorized Participants in Creation Units of 50,000 shares, and the Fund has been listed on NYSE Arca since November 25, 2008.

Revenue drivers

• Crude oil futures trading — The Fund trades exchange-traded futures on the Index Commodity to track the Index; performance, positive or negative, is driven primarily by this futures strategy.
• Treasury Income — Interest income from direct holdings of United States Treasury Obligations, held for margin and/or cash management purposes.
• Money Market Income — Dividends from holdings in money market mutual funds, affiliated or otherwise, held as collateral for margin and/or cash management.
• T-Bill ETF Income — Dividends or distributions of capital gains from holdings of T-Bill ETFs that track indexes of U.S. Treasury Obligations with a maximum remaining maturity of up to 12 months.

Recent performance

Annual net income was $228.7M in 2021, $77.3M in 2022, -$14.2M in 2023, $19.6M in 2024 and -$19.4M in 2025. Operating cash flow was $224.8M in 2021, $208.3M in 2022, $44.8M in 2023, $53.0M in 2024 and -$13.2M in 2025. At June 30, 2026, total assets were $216.1M, total liabilities $5.3M, shareholder equity $210.8M and cash and equivalents $0.00. As of June 30, 2026, net assets were $210,799,420, with daily volatility of 1.92% and a one-day 99% VaR of $9,519,974; VaR was exceeded 14 times during the six months then ended. As of December 31, 2025, net assets were $204,220,852, with daily volatility of 1.47%, VaR of $6,992,091 and 13 VaR exceedances for the year.

Strategy

The Fund's stated objective is to track changes in the DBIQ Optimum Yield Crude Oil Index Excess Return over time, plus the excess of Treasury Income, Money Market Income and T-Bill ETF Income over expenses. It invests in a portfolio of exchange-traded crude oil futures and holds Treasury Obligations, money market mutual funds and T-Bill ETFs only for margin and/or cash management purposes. The Index Sponsor selects the futures contract with the highest implied roll yield, aiming to maximize roll benefits in backwardated markets and minimize losses from rolling in contango. On the first Index business day of each month the included contract is tested, and if its delivery month is the next calendar month a new contract is selected between the second and sixth Index business day. The Managing Owner may invest in other futures contracts if Index Contracts are impractical, including when thinly traded, and may use contracts that correlate with an Index Contract.

Risks

• Commodity price risk — The Fund's market risk is primarily influenced by changes in commodity prices, and its market-sensitive instruments are subject to trading loss as an integral part of its main line of business.
• VaR exceedance and risk of ruin — The Fund recorded 14 VaR exceedances in the six months ended June 30, 2026 and 13 for the year ended December 31, 2025, and the filing states actual losses could far exceed indicated VaR or historical experience.
• Roll yield and contango risk — The Index selects the futures contract with the highest implied roll yield, aiming to maximize roll benefits in backwardated markets and minimize losses from rolling in contango, so adverse curve structure can hurt performance.
• Position limits and contract availability — The CFTC and certain futures exchanges impose position limits on Index Contracts, and thin or inefficient markets may force the Managing Owner to use other futures contracts that may or may not be based on the Index Commodity.

Outlook

The filings describe no material estimates involving a significant level of estimation uncertainty in the preparation of the financial statements. The Fund's non-trading market risk from short-term U.S. Treasury Obligations, T-Bill ETFs and money market mutual funds is not expected to be material. The Fund states it does not establish or liquidate T-Bill ETF positions for trading purposes. Quantitative market-risk disclosures are forward-looking statements, and the Fund gives no assurance that losses will be limited to VaR.