Patent ID: 7739186

Claim:
A computerized system for operating a commodity pool, comprising: a processor for executing programmed logic; a communication module for receiving pricing information associated with short-term oil futures contracts; a first memory in communication with the processor for storing the pricing information associated with short-term oil futures contracts; a second memory in communication with the processor, wherein the second memory includes programmed logic executed by the processor for: determining a number of outstanding units of a commodity pool; determining a value of investments of the commodity pool based at least in part on the received pricing information associated with the short-term oil futures contracts, wherein the commodity pool includes current holdings of short-term oil futures contracts, wherein prior to an expiration date or delivery date associated with the current holdings of short-term oil futures contracts, the commodity pool rolls over the current holdings of the short-term oil futures contracts into new holdings of short-term oil futures contracts; determining expenses for the commodity pool; and calculating a net asset value for the commodity pool based upon the determined number of outstanding units, the determined value of the investments, and the determined expenses, wherein during a contango associated with rolling over the current holdings into the new holdings of the short-term oil futures contracts, the commodity pool performs at least one of hedging or arbitrage activities based upon a comparison of the net asset value to a current spot price of oil in order to enable the net asset value to better track the spot price of oil.