United States Gasoline Fund, LP

What they do

UGA is a Delaware limited partnership and commodity pool that issues shares traded on NYSE Arca, with the objective of reflecting daily percentage changes in the spot price of gasoline as measured by the Benchmark Futures Contract on NYMEX. It invests primarily in gasoline futures contracts, and may also invest in crude oil, natural gas, heating oil, and other petroleum-based fuel futures on NYMEX, ICE Futures, or other exchanges, plus other gasoline-related investments. The general partner, United States Commodity Funds LLC, manages UGA's operations.

Revenue drivers

• Futures contract trading — Primary revenue source from changes in the value of gasoline futures contracts, with performance tied to gasoline price movements.
• Interest on collateral — Interest earned on collateral holdings, which contributes to revenue and is part of the investment objective.
• Net asset value changes — Revenue from net asset value changes driven by the daily performance of the Benchmark Futures Contract, which fluctuates with gasoline spot prices.

Recent performance

In the fiscal year ending 2025, UGA reported annual revenue of -$3.1 million and net income of -$3.9 million, contrasting with revenue of $6.7 million and net income of $5.6 million in 2024. The most recent quarter (June 30, 2026) showed revenue of -$2.0 million, while the March 31, 2026 quarter had unusually high revenue of $58.5 million. Operating cash flow for 2025 was -$1.8 million, down from $1.2 million in 2024. Total assets stood at $107.9 million with cash and equivalents of $82.4 million as of June 30, 2026.

Strategy

UGA's strategy is to invest in futures contracts and other gasoline-related investments to meet its objective of daily NAV changes within plus/minus 10% of the Benchmark Futures Contract's daily price change over 30 successive valuation days. The fund seeks to achieve this through arbitrage opportunities and by maintaining a portfolio that tracks gasoline price movements. Management focuses on liquidity and favorable pricing by potentially using Other Gasoline-Related Investments under certain market conditions.

Risks

• Gasoline price volatility — UGA's performance is directly tied to gasoline prices, which can fluctuate significantly due to supply/demand, geopolitical events, and seasonal factors.
• Contango and backwardation — Natural market forces like contango and backwardation can cause UGA's NAV to deviate from spot gasoline price changes over periods longer than one day, potentially leading to tracking errors.
• Regulatory and legal exposure — Changes in laws or regulations, including tax rules, could impact UGA's operations and financial results.
• Geopolitical events — Conflicts such as the Russia-Ukraine war and Middle East tensions are cited as factors that could cause market volatility and affect UGA's performance.

Outlook

Management does not provide specific forward-looking guidance but acknowledges risks from inflation, stock market movements, currency fluctuations, and commodity market volatility. UGA's performance will depend on gasoline price trends and the fund's ability to track the Benchmark Futures Contract. The fund may adjust its investment mix, including using other gasoline-related investments, to manage liquidity and pricing.