First Trust Alternative Absolute Return Strategy ETF(NASDAQ:FAAR)

FAAR's active manager (First Trust Advisors) has broad leeway to execute the fund's long/short commodities strategy: the fund may go long or short any exchange-traded commodity futures contract, and take a net-long, net-short, or neutral stance. The fund may also hold cash and equivalents (including US Treasurys with up to five years to maturity), both as collateral for its futures investments and as a safe haven. FAAR doesn't own futures directly, but rather through its holdings in a Cayman Islands subsidiaryan arrangement that allows it to be structured as an open-ended fund under the 1940 Act, and avoid a K-1 at tax time.