United States Natural Gas Fund - UNG

AAA

DEFINITION of 'United States Natural Gas Fund - UNG'

An exchange-traded security designed to track percentage changes in the price of natural gas delivered to Henry Hub, Louisiana, the main U.S. benchmark for natural gas. UNG invests primarily in futures contracts but also in natural gas related futures, forwards and swap contracts and obligations of the United States government with remaining maturities of two years or less.

INVESTOPEDIA EXPLAINS 'United States Natural Gas Fund - UNG'

The United States Natural Gas Fund (UNG) was introduced in April 2007 by Victoria Bay Asset Management and the American Stock Exchange and is listed on the NYSE Arca. Natural gas futures serve as the benchmark for natural gas prices in the United States. UNG is designed to give investors the convenience of commodity-like exposure without having a commodity futures account.

RELATED TERMS
  1. Widow Maker

    In everyday usage, a widow maker is the name of an artery with ...
  2. Energy Sector

    A category of stocks that relate to producing or supplying energy. ...
  3. American Stock Exchange - AMEX

    The third-largest stock exchange by trading volume in the United ...
  4. Import

    A good or service brought into one country from another. Along ...
  5. Export

    A function of international trade whereby goods produced in one ...
  6. New York Stock Exchange - NYSE

    A stock exchange based in New York City, which is considered ...
RELATED FAQS
  1. Is there a situation in which wash trading is legal?

    Wash trading, the intentional practice of manipulating a stock's activity level to deceive other investors, is not a legal ... Read Full Answer >>
  2. What are some of the most popular ETFs that track the retail sector?

    Some of the most popular exchange-traded funds (ETFs) that track the retail sector include the iShares S&P Global Consumer ... Read Full Answer >>
  3. Are there leveraged ETFs that follow the retail sector?

    There are many exchange-traded funds (ETFs) that track the retail sector or elements of the retail sector, and some of those ... Read Full Answer >>
  4. If I believe retail sector companies are overvalued how can I profit from a fall ...

    For an investor who believes that retail sector companies are overvalued, there are three basic strategies he can employ ... Read Full Answer >>
  5. What is the 12b-1 fee meant to cover?

    A 12b-1 fee in a mutual fund is meant to cover the fees of companies and individuals through which investors of a fund buy ... Read Full Answer >>
  6. What are the main risks associated with trading derivatives?

    The primary risks associated with trading derivatives are market, counterparty, liquidity and interconnection risks. Derivatives ... Read Full Answer >>
Related Articles
  1. Active Trading

    Uncovering Oil And Gas Futures

    Find out how to stay on top of data reports that could cause volatility in oil and gas markets.
  2. Mutual Funds & ETFs

    Investing In Oil And Gas UITs

    Unit investment trusts provide direct exposure to the energy sector, fueling better returns.
  3. Fundamental Analysis

    Accounting For Differences In Oil And Gas Accounting

    How a company accounts for its expenses affects how its net income and cash flow numbers are reported.
  4. Mutual Funds & ETFs

    ETF Analysis: iShares S&P 500

    Find out more about the iShares Core S&P 500 Exchange Traded Fund, the characteristics of this ETF and the suitability of the iShares Core S&P 500 ETF.
  5. Mutual Funds & ETFs

    ETF Analysis: Market Vectors Russia

    Learn about Market Vectors Russia ETF, its top holdings, as well as cyclical and political risks associated with investing in the Russian market.
  6. Stock Analysis

    Southwest & Cheap Oil: The Perfect Combination?

    Discover how falling oil prices (and well-timed futures contracts) benefit Southwest Airlines.
  7. Mutual Funds & ETFs

    ETF Analysis: iShares MSCI Emerging Markets

    Learn more about the most liquid and highly traded emerging market ETF in the world -- the iShares MSCI Emerging Markets ETF (EEM).
  8. Economics

    As Fed Prepares To Move, Gold Is Losing Its Luster

    Last week’s Semi-Annual Monetary Policy Report to Congress returned investors’ focus back to the fundamentals, and a general upbeat of the economy.
  9. Chart Advisor

    ChartAdvisor for July 24 2015

    Weekly technical summary of the major U.S. indexes.
  10. Stock Analysis

    Where Will the Shanghai Composite Be in a Year?

    The Shanghai Composite Index is on fire. But where will it be a year from now?

You May Also Like

Hot Definitions
  1. Investopedia

    One of the best-known sources of financial information on the internet. Investopedia is a resource for investors, consumers ...
  2. Unfair Claims Practice

    The improper avoidance of a claim by an insurer or an attempt to reduce the size of the claim. By engaging in unfair claims ...
  3. Killer Bees

    An individual or firm that helps a company fend off a takeover attempt. A killer bee uses defensive strategies to keep an ...
  4. Sin Tax

    A state-sponsored tax that is added to products or services that are seen as vices, such as alcohol, tobacco and gambling. ...
  5. Grandfathered Activities

    Nonbank activities, some of which would normally not be permissible for bank holding companies and foreign banks in the United ...
  6. Touchline

    The highest price that a buyer of a particular security is willing to pay and the lowest price at which a seller is willing ...
Trading Center
×

You are using adblocking software

Want access to all of Investopedia? Add us to your “whitelist”
so you'll never miss a feature!