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OFFON

INVESCO DB COMMODITY INDEX TRACKING FUND

(DBC)
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PowerShares DB Com Indx Trckng Fund ETF : INVESCO DB COMMODITY INDEX TRACKING FUND MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS. (form 10-Q)

08/06/2021 | 06:05am EST
This information should be read in conjunction with the financial statements and
notes included in Item 1 of Part I of this Quarterly Report on Form 10-Q (the
"Report"). This Report includes forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended (the "Securities Act"),
and Section 21E of the Securities Exchange Act of 1934, as amended (the
"Exchange Act"), that involve substantial risks and uncertainties. The matters
discussed throughout this Report that are not historical facts are
forward-looking statements. These forward-looking statements are based on the
Fund's and Invesco Capital Management LLC's (the "Managing Owner") current
expectations, estimates and projections about the future results, performance,
prospects and opportunities of the Fund and the Fund's business and industry and
their beliefs and assumptions about future events and speak only as of the date
on which they are made. Words such as "anticipate," "expect," "intend," "plan,"
"believe," "seek," "outlook" and "estimate," as well as similar words and
phrases, signify forward-looking statements. Forward-looking statements are not
guarantees of future results. Conditions and important factors, risks and
uncertainties in the markets for financial instruments that the Fund trades, in
the markets for related physical commodities, in the legal and regulatory
regimes applicable to the Managing Owner, the Fund, and the Fund's service
providers, and in the broader economy may cause actual results to differ
materially from those expressed by such forward-looking statements.

You should not place undue reliance on any forward-looking statements. Except as
expressly required by the Federal securities laws, the Fund and the Managing
Owner undertake no obligation to publicly update or revise any forward-looking
statements or the risks, uncertainties or other factors described in this
Report, as a result of new information, future events or changed circumstances
or for any other reason after the date of this Report.

Overview/Introduction


Invesco Capital Management LLC ("Invesco") has served as the managing owner (the
"Managing Owner"), commodity pool operator and commodity trading advisor of the
Fund since February 23, 2015. The Managing Owner is registered with the
Commodity Futures Trading Commission (the "CFTC") as a commodity pool operator
and a commodity trading advisor, and it is a member firm of the National Futures
Association ("NFA").

The Fund seeks to track changes, whether positive or negative, in the level of
the DBIQ Optimum Yield Diversified Commodity Index Excess ReturnTM (the "Index")
over time, plus the excess, if any, of the sum of the Fund's interest income
from its holdings of United States Treasury Obligations ("Treasury Income"),
dividends from its holdings in money market mutual funds (affiliated or
otherwise) ("Money Market Income") and dividends or distributions of capital
gains from its holdings of T-Bill ETFs (as defined below) ("T-Bill ETF Income")
over the expenses of the Fund. The Fund invests in futures contracts in an
attempt to track its Index. The Index is intended to reflect the change in
market value of the commodity sector. The commodities comprising the Index are
Light Sweet Crude Oil, Ultra Low Sulphur Diesel (also commonly known as Heating
Oil), Aluminum, Gold, Corn, Wheat, Brent Crude Oil, Copper Grade A, Natural Gas,
RBOB Gasoline (reformulated gasoline blendstock for oxygen blending, or "RBOB"),
Silver, Soybeans, Sugar and Zinc (each, an "Index Commodity," and collectively,
the "Index Commodities").

The Fund may invest directly in United States Treasury Obligations. The Fund may
also gain exposure to United States Treasury Obligations through investments in
exchange-traded funds ("ETFs") (affiliated or otherwise) that track indexes that
measure the performance of United States Treasury Obligations with a maximum
remaining maturity of up to 12 months ("T-Bill ETFs"). The Fund holds as
collateral United States Treasury Obligations, money market mutual funds and
T-Bill ETFs (affiliated or otherwise), if any, for margin and/or cash management
purposes. While the Fund's performance reflects the appreciation and
depreciation of those holdings, the Fund's performance, whether positive or
negative, is driven primarily by its strategy of trading futures contracts with
the aim of seeking to track the Index.

The Fund pursues its investment objective by investing in a portfolio of
exchange-traded commodity futures contracts that expire in a specific month and
trade on a specific exchange (the "Index Contracts") in the Index Commodities.
The notional amounts of each Index Commodity included in the Index are broadly
in proportion to historic levels of the world's production and stocks of the
Index Commodities. The Fund also holds United States Treasury Obligations and
T-Bill ETFs, if any, for deposit with Morgan Stanley & Co. LLC, the Fund's
commodity broker (the "Commodity Broker") as margin, to the extent permissible
under CFTC rules and United States Treasury Obligations, cash, money market
mutual funds and T-Bill ETFs (affiliated or otherwise), if any, on deposit with
The Bank of New York Mellon (the "Custodian"), for cash management purposes. The
aggregate notional value of the commodity futures contracts owned by the Fund is
expected to approximate the aggregate net asset value ("NAV") of the Fund, as
opposed to the aggregate Index value.

The CFTC and certain futures exchanges impose position limits on futures
contracts, including on Index Contracts. As the Fund approaches or reaches
position limits with respect to an Index Commodity, the Fund may commence
investing in Index Contracts that reference other Index Commodities. In those
circumstances, the Fund may also trade in futures contracts based on commodities
other than Index Commodities that the Managing Owner reasonably believes tend to
exhibit trading prices that correlate with an Index Contract.

The Managing Owner may determine to invest in other futures contracts if at any
time it is impractical or inefficient to gain full or partial exposure to an
Index Commodity through the use of Index Contracts. These other futures
contracts may or may not be based on an Index Commodity. When they are not, the
Managing Owner may seek to select futures contracts that it reasonably believes
tend to exhibit trading prices that correlate with an Index Contract.

                                       19

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The Shares are intended to provide investment results that generally correspond
to the changes, positive or negative, in the levels of the Index over time. The
value of the Shares is expected to fluctuate in relation to changes in the value
of the Fund's portfolio. The market price of the Shares may not be identical to
the NAV per Share, but these two valuations are expected to be very close.

Index Description

The Managing Owner pays Deutsche Bank Securities, Inc. (the "Index Sponsor") a licensing fee and an index services fee for performing its duties.


These fees constitute a portion of the routine operational, administrative and
other ordinary expenses which are paid out of the management fee paid to the
Managing Owner ("Management Fee") and are not charged to or reimbursed by the
Fund.

Neither the Managing Owner nor any affiliate of the Managing Owner has any
rights to influence the selection of the futures contracts underlying the Index.
The Managing Owner has entered into a license agreement with the Index Sponsor
to use the Index.

The Fund is not sponsored or endorsed by Deutsche Bank AG, Deutsche Bank
Securities, Inc. or any subsidiary or affiliate of Deutsche Bank AG or Deutsche
Bank Securities, Inc. (collectively, "Deutsche Bank"). The DBIQ Optimum Yield
Diversified Commodity Index Excess Return™ (the "Index") is the exclusive
property of Deutsche Bank Securities, Inc. "DBIQ" and "Optimum Yield" are
service marks of Deutsche Bank AG and have been licensed for use for certain
purposes by Deutsche Bank Securities, Inc. Neither Deutsche Bank nor any other
party involved in, or related to, making or compiling the Index makes any
representation or warranty, express or implied, concerning the Index, the Fund
or the advisability of investing in securities generally. Neither Deutsche Bank
nor any other party involved in, or related to, making or compiling the Index
has any obligation to take the needs of the Managing Owner or its clients into
consideration in determining, composing or calculating the Index. Neither
Deutsche Bank nor any other party involved in, or related to, making or
compiling the Index is responsible for or has participated in the determination
of the timing of, prices at, quantities or valuation of the Fund. Neither
Deutsche Bank nor any other party involved in, or related to, making or
compiling the Index has any obligation or liability in connection with the
administration or trading of the Fund.

NEITHER DEUTSCHE BANK NOR ANY OTHER PARTY INVOLVED IN, OR RELATED TO, MAKING OR
COMPILING THE INDEX, WARRANTS OR GUARANTEES THE ACCURACY AND/OR THE COMPLETENESS
OF THE INDEX OR ANY DATA INCLUDED THEREIN AND SHALL HAVE NO LIABILITY FOR ANY
ERRORS, OMISSIONS, OR INTERRUPTIONS THEREIN. NEITHER DEUTSCHE BANK NOR ANY OTHER
PARTY INVOLVED IN, OR RELATED TO, MAKING OR COMPILING THE INDEX, MAKES ANY
WARRANTY, EXPRESS OR IMPLIED, AS TO RESULTS TO BE OBTAINED BY INVESCO CAPITAL
MANAGEMENT LLC FROM THE USE OF THE INDEX OR ANY DATA INCLUDED THEREIN. NEITHER
DEUTSCHE BANK NOR ANY OTHER PARTY INVOLVED IN, OR RELATED TO, MAKING OR
COMPILING THE INDEX, MAKES ANY EXPRESS OR IMPLIED WARRANTIES, AND EXPRESSLY
DISCLAIMS ALL WARRANTIES, OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE
OR USE WITH RESPECT TO THE INDEX OR ANY DATA INCLUDED THEREIN. WITHOUT LIMITING
ANY OF THE FOREGOING, IN NO EVENT SHALL DEUTSCHE BANK OR ANY OTHER PARTY
INVOLVED IN, OR RELATED TO, MAKING OR COMPILING THE INDEX HAVE ANY LIABILITY FOR
DIRECT, INDIRECT, PUNITIVE, SPECIAL, CONSEQUENTIAL OR ANY OTHER DAMAGES OR
LOSSES (INCLUDING LOST PROFITS), EVEN IF NOTIFIED OF THE POSSIBILITY THEREOF.
EXCEPT AS EXPRESSLY PROVIDED TO THE CONTRARY, THERE ARE NO THIRD PARTY
BENEFICIARIES OF ANY AGREEMENTS OR ARRANGEMENTS BETWEEN DEUTSCHE BANK AND
INVESCO CAPITAL MANAGEMENT LLC.

No purchaser, seller or holder of the Shares of this Fund, or any other person
or entity, should use or refer to any Deutsche Bank trade name, trademark or
service mark to sponsor, endorse, market or promote this Fund without first
contacting Deutsche Bank to determine whether Deutsche Bank's permission is
required. Under no circumstances may any person or entity claim any affiliation
with Deutsche Bank without the written permission of Deutsche Bank.

The Index Sponsor may from time-to-time subcontract the provision of the calculation and other services described below to one or more third parties.


The Index is composed of notional amounts of each of the underlying Index
Commodities. The notional amount of each Index Commodity included in the Index
is intended to reflect the changes in market value of each such Index Commodity
within the Index. The closing level of the Index is calculated on each business
day by the Index Sponsor based on the closing price of the commodity futures
contracts for each of the Index Commodities and the notional amount of such
Index Commodity.

The Index is rebalanced annually in November to ensure that each of the Index
Commodities is weighted in the same proportion that such Index Commodities were
weighted on September 3, 1997. The composition of the Index may be adjusted in
the event that the Index Sponsor is not able to calculate the closing prices of
the Index Commodities.

                                       20

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The following table reflects the Fund weights of each Index Commodity, or related futures contracts, as applicable, as of June 30, 2021:


Index Commodity                       Fund Weight (%)
Light Sweet Crude Oil (WTI)                      15.34 %
Ultra Low Sulphur Diesel                         14.08
RBOB Gasoline                                    14.74
Natural Gas                                       4.06
Brent Crude Oil                                  13.58
Gold                                              5.20
Silver                                            1.50
Aluminum                                          3.68
Zinc                                              3.20
Copper Grade A                                    3.91
Corn                                              5.82
Wheat                                             4.31
Soybeans                                          5.37
Sugar                                             5.21
Closing Level as of June 30, 2021:              100.00 %


Please see http://www.invesco.com/ETFs with respect to the most recently available weighted composition of the Fund and the composition of the Index.

Market Risk


Trading in futures contracts involves the Fund entering into contractual
commitments to purchase a particular commodity at a specified date and price.
The market risk associated with the Fund's commitments to purchase commodities
is limited to the gross or face amount of the contracts held.

The Fund's exposure to market risk is also influenced by a number of factors
including the volatility of interest rates and foreign currency exchange rates,
the liquidity of the markets in which the contracts are traded and the
relationships among the contracts held. The inherent uncertainty of the Fund's
trading as well as the development of drastic market occurrences could
ultimately lead to a loss of all or substantially all of the investors' capital.

Credit Risk


When the Fund enters into futures contracts, the Fund is exposed to credit risk
that the counterparty to the contract will not meet its obligations. The
counterparty for futures contracts traded on United States and on most foreign
futures exchanges is the clearing house associated with the particular exchange.
In general, clearing houses are backed by their corporate members who may be
required to share in the financial burden resulting from the nonperformance by
one of their members and, as such, is designed to disperse and mitigate the
credit risk posed by any other one member. In cases where the clearing house is
not backed by the clearing members (i.e., some foreign exchanges), it may be
backed by a consortium of banks or other financial institutions. There can be no
assurance that any counterparty, clearing member or clearinghouse will meet its
obligations to the Fund.

The Commodity Broker, when acting as the Fund's futures commission merchant in
accepting orders for the purchase or sale of domestic futures contracts, is
required by CFTC regulations to separately account for and segregate as
belonging to the Fund all assets of the Fund relating to domestic futures
trading. The Commodity Broker is not allowed to commingle such assets with other
assets of the Commodity Broker. In addition, CFTC regulations also require the
Commodity Broker to hold in a secure account assets of the Fund related to
foreign futures trading. While these legal requirements are designed to protect
the customers of futures commission merchants, a failure by the Commodity Broker
to comply with those requirements would be likely to have a material adverse
effect on the Fund in the event that the Commodity Broker became insolvent or
suffered other financial distress.

Liquidity


The Fund's entire source of capital is derived from the Fund's offering of
Shares to Authorized Participants. The Fund in turn allocates its net assets to
commodity futures trading. A significant portion of the NAV is held in United
States Treasury Obligations, which may be used as margin for the Fund's trading
in commodity futures contracts and United States Treasury Obligations, money
market mutual funds, cash and T-Bill ETFs, if any, which may be used for cash
management purposes. The percentage that United States Treasury Obligations bear
to the total net assets will vary from period to period as the market values of
the Fund's commodity interests change. A portion of the Fund's United States
Treasury Obligations are held for deposit with the Commodity Broker to meet
margin requirements. All remaining cash, money market mutual funds, T-Bill ETFs,
if any, and United States Treasury Obligations are on deposit with the
Custodian. Interest earned on the Fund's interest-bearing funds and dividends
from the Fund's holdings of money market mutual funds are paid to the Fund. Any
dividends or distributions of capital gains received from the Fund's holdings of
T-Bill ETFs, if any, are paid to the Fund.

                                       21

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The Fund's commodity futures contracts may be subject to periods of illiquidity
because of market conditions, regulatory considerations or for other reasons.
For example, U.S. futures exchanges and some foreign exchanges have regulations
that limit the amount of fluctuation in futures contract prices that may occur
during a single business day. These limits are generally referred to as "daily
price fluctuation limits" or "daily limits," and the maximum or minimum price of
a contract on any given day as a result of these limits is referred to as a
"limit price". Once a limit price has been reached in a particular contract, it
is usually the case that no trades may be made at a different price than
specified in the limit. The duration of limit prices generally varies. Limit
prices may have the effect of precluding the Fund from trading in a particular
contract or requiring the Fund to liquidate contracts at disadvantageous times
or prices. Either of those outcomes could adversely affect the Fund's ability to
pursue its investment objective.

Because the Fund trades futures contracts, its capital is at risk due to changes
in the value of futures contracts (market risk) or the inability of
counterparties (including the Commodity Broker and/or exchange clearinghouses)
to perform under the terms of the contracts (credit risk).

On any business day, an Authorized Participant may place an order with the
Transfer Agent to redeem one or more blocks of 100,000 Shares ("Creation
Units"). Redemption orders must be placed by 10:00 a.m., Eastern Time. The day
on which the Managing Owner receives a valid redemption order is the redemption
order date. The day on which a redemption order is settled is the redemption
order settlement date. As provided below, the redemption order settlement date
may occur up to two business days after the redemption order date. Redemption
orders are irrevocable. The redemption procedures allow Authorized Participants
to redeem Creation Units. Individual Shareholders may not redeem directly from
the Fund. Instead, individual Shareholders may only redeem Shares in integral
multiples of 100,000 and only through an Authorized Participant.

Unless otherwise agreed to by the Managing Owner and the Authorized Participant
as provided in the next sentence, by placing a redemption order, an Authorized
Participant agrees to deliver the Creation Units to be redeemed through DTC's
book-entry system to the Fund no later than the redemption order settlement date
as of 2:45 p.m., Eastern Time, on the business day immediately following the
redemption order date. Upon submission of a redemption order, the Authorized
Participant may request the Managing Owner to agree to a redemption order
settlement date up to two business days after the redemption order date. By
placing a redemption order, and prior to receipt of the redemption proceeds, an
Authorized Participant's DTC account is charged the non-refundable transaction
fee due for the redemption order.

Redemption orders may be placed either (i) through the Continuous Net Settlement
("CNS") clearing processes of the National Securities Clearing Corporation (the
"NSCC") (the "CNS Clearing Process") or (ii) if outside the CNS Clearing
Process, only through the facilities of The Depository Trust Company ("DTC" or
the "Depository") (the "DTC Process"), or a successor depository, and only in
exchange for cash. By placing a redemption order, and prior to receipt of the
redemption proceeds, an Authorized Participant's DTC account is charged the
non-refundable transaction fee due for the redemption order and such fee is not
borne by the Fund.

Capital Resources

The Fund does not have any material commitments for capital expenditures as of the end of the latest fiscal period.


The Fund is unaware of any (i) anticipated known demands, commitments or capital
expenditures; (ii) material trends, favorable or unfavorable, in its capital
resources; or (iii) trends or uncertainties that will have a material effect on
operations.

Cash Flows

A primary cash flow activity of the Fund is to raise capital from Authorized
Participants through the issuance of Shares. This cash is used to invest in
United States Treasury Obligations, money market mutual funds and T-Bill ETFs,
if any, and to meet margin requirements as a result of the positions taken in
futures contracts to match the fluctuations of the Index.

As of the date of this Report, each of BMO Capital Markets Corp., BNP Paribas
Securities Corp., Cantor Fitzgerald & Co., Citadel Securities LLC, Citigroup
Global Markets Inc., Credit Suisse Securities (USA) LLC, Deutsche Bank
Securities Inc., Goldman Sachs & Co., Goldman Sachs Execution & Clearing LP,
Interactive Brokers LLC, Jefferies LLC, JP Morgan Securities Inc., Merrill Lynch
Professional Clearing Corp., Morgan Stanley & Co. LLC, Nomura Securities
International Inc., RBC Capital Markets LLC, SG Americas Securities LLC, UBS
Securities LLC, Virtu Americas LLC and Virtu Financial Capital Markets LLC has
executed a Participant Agreement and are the only Authorized Participants.

Operating Activities


Net cash flow provided by (used in) operating activities was $(689.0) million
and $283.2 million for the six months ended June 30, 2021 and 2020,
respectively. These amounts primarily include net income (loss), net purchases
and sales of money market mutual funds and net purchases and sales of United
States Treasury Obligations and affiliated investments. The Fund invests in
United States Treasury Obligations, money market mutual funds and T-Bill ETFs
(affiliated or otherwise), if any, for margin and/or cash management purposes.
While the Fund's performance reflects the appreciation and depreciation of those
holdings, the Fund's performance, whether positive or negative, is driven
primarily by its strategy of trading futures contracts with the aim of seeking
to track the Index.

During the six months ended June 30, 2021, $823.8 million was paid to purchase
United States Treasury Obligations and $240.0 million was received from sales
and maturing United States Treasury Obligations. During the six months ended
June 30, 2020, $489.1

                                       22
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million was paid to purchase United States Treasury Obligations and $852.0
million was received from sales and maturing United States Treasury Obligations.
$1,463.2 million was received from sales of affiliated investments and $2,059.5
million was paid to purchase affiliated investments during the six months ended
June 30, 2021. $1,229.4 million was received from sales of affiliated
investments and $978.6 million was paid to purchase affiliated investments
during the six months ended June 30, 2020. Unrealized appreciation/depreciation
on United States Treasury Obligations, affiliated investments and futures
contracts increased (decreased) net cash provided by (used in) operating
activities by $12.5 million and $(2.5) million during the six months ended
June 30, 2021 and 2020, respectively.

Financing Activities


The Fund's net cash flow provided by (used in) financing activities was $681.5
million and $(272.0) million during the six months ended June 30, 2021 and 2020,
respectively. This included $1,144.9 million and $77.0 million from Shares
purchased by Authorized Participants and $463.4 million and $349.0 million from
Shares redeemed by Authorized Participants during the six months ended June 30,
2021 and 2020, respectively.

Results of Operations

FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2021 AND 2020


The following graphs illustrate the percentage changes in (i) the market price
of the Shares (as reflected by the line "Market"), (ii) the Fund's NAV (as
reflected by the line "NAV"), and (iii) the closing levels of the Index (as
reflected by the line "DBIQ Opt Yield Diversified Comm Index ER"). Whenever the
Treasury Income, Money Market Income and T-Bill ETF Income, if any, earned by
the Fund exceeds Fund expenses, the price of the Shares generally exceeds the
level of the Index primarily because the Share price reflects Treasury Income,
Money Market Income and T-Bill ETF Income from the Fund's collateral holdings
whereas the Index does not consider such income. There can be no assurances that
the price of the Shares or the Fund's NAV will exceed the Index levels.

No representation is being made that the Index will or is likely to achieve
closing levels consistent with or similar to those set forth herein. Similarly,
no representation is being made that the Fund will generate profits or losses
similar to the Fund's past performance or changes in the Index closing levels.

                                       23

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COMPARISON OF MARKET, NAV AND DBIQ OPTIMUM YIELD DIVERSIFIED COMMODITY INDEX ER
           FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2021 AND 2020



                               [[Image Removed]]


NEITHER THE PAST PERFORMANCE OF THE FUND NOR THE PRIOR INDEX LEVELS AND CHANGES,

  POSITIVE OR NEGATIVE, SHOULD BE TAKEN AS AN INDICATION OF THE FUND'S FUTURE
                                  PERFORMANCE.



                               [[Image Removed]]


NEITHER THE PAST PERFORMANCE OF THE FUND NOR THE PRIOR INDEX LEVELS AND CHANGES,

  POSITIVE OR NEGATIVE, SHOULD BE TAKEN AS AN INDICATION OF THE FUND'S FUTURE
                                  PERFORMANCE.

                                       24
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                               [[Image Removed]]


NEITHER THE PAST PERFORMANCE OF THE FUND NOR THE PRIOR INDEX LEVELS AND CHANGES,

  POSITIVE OR NEGATIVE, SHOULD BE TAKEN AS AN INDICATION OF THE FUND'S FUTURE
                                  PERFORMANCE.



                               [[Image Removed]]


NEITHER THE PAST PERFORMANCE OF THE FUND NOR THE PRIOR INDEX LEVELS AND CHANGES,

  POSITIVE OR NEGATIVE, SHOULD BE TAKEN AS AN INDICATION OF THE FUND'S FUTURE
                                  PERFORMANCE.

                                       25

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Performance Summary

This Report covers the three and six months ended June 30, 2021 and 2020. Past performance of the Fund is not necessarily indicative of future performance.


The Index is intended to reflect the change in market value of the Index
Commodities. In turn, the notional amounts of each Index Commodity are broadly
in proportion to historic levels of the world's production and stocks of such
Index Commodities. The DBIQ Optimum Yield Diversified Commodity Index Total
Return ™, (the "DBIQ-OY Diversified TR™") consists of the Index plus 3-month
United States Treasury Obligations returns. Past results of the Index and the
DBIQ-OY Diversified TR™ are not necessarily indicative of future changes,
positive or negative.

The section "Summary of the DBIQ-OY Diversified TR™ and Underlying Index
Commodity Returns for the Three and Six Months Ended June 30, 2021 and 2020"
below provides an overview of the changes in the closing levels of the DBIQ-OY
Diversified TR™ by disclosing the change in market value of each underlying
component Index Commodity through a "surrogate" (and analogous) index that also
reflects 3-month United States Treasury Obligations returns. Please note also
that the Fund's objective is to track the Index (not the DBIQ-OY Diversified
TR™), and the Fund does not attempt to outperform or underperform the Index. The
Index employs the optimum yield roll method with the objective of mitigating the
negative effects of contango, the condition in which distant delivery prices for
futures exceed spot prices, and maximizing the positive effects of
backwardation, a condition opposite of contango.

Summary of the DBIQ-OY Diversified TR™ and Underlying Index Commodity

Returns for the Three and Six Months Ended June 30, 2021 and 2020


                                                   AGGREGATE RETURNS FOR 

INDICES IN THE DBIQ-OY DIVERSIFIED TR™

                                                   Three Months Ended                         Six Months Ended
                                                        June 30,                                  June 30,
Underlying Index                               2021                 2020                 2021                 2020
DB Light Crude Oil Indices                         23.07 %               13.91 %             53.00 %              (34.52 )%
DB Ultra Low Sulphur Diesel Indices                18.31                 (3.67 )             40.74                (50.13 )
DB Aluminum Indices                                11.20                  3.44               23.19                (13.33 )
DB Gold Indices                                     3.21                 14.36               (7.14 )               17.97
DB Corn Indices                                    20.83                 (2.33 )             34.24                (14.57 )
DB Wheat Indices                                    9.17                (13.29 )              7.01                (13.21 )
DB RBOB Gasoline Indices                           19.51                 37.41               50.46                (31.89 )
DB Natural Gas Indices                             14.29                  6.55               16.67                (19.91 )
DB Silver Indices                                   6.64                 32.66               (1.16 )                4.57
DB Zinc Indices                                     5.23                  6.98                7.40                 (9.95 )
DB Copper Grade A Indices                           7.58                 20.19               21.72                 (3.53 )
DB Soybeans Indices                                11.37                  0.58               25.86                 (9.57 )
DB Sugar Indices                                   21.05                 11.19               27.44                (13.56 )
DB Brent Crude Oil Indices                         19.90                 11.67               41.83                (36.13 )
AGGREGATE RETURNS                                  16.41 %                9.23 %             31.75 %              (22.72 )%


If the Fund's Treasury Income, Money Market Income and T-Bill ETF Income were to
exceed the Fund's fees and expenses, the aggregate return on an investment in
the Fund would be expected to outperform the Index and underperform the DBIQ-OY
Diversified TR™. The only difference between (i) the Index (the "Excess Return
Index") and (ii) the DBIQ-OY Diversified TR™ (the "Total Return Index") is that
the Excess Return Index does not include interest income from fixed income
securities while the Total Return Index does include such a component. Thus, the
difference between the Excess Return Index and the Total Return Index is
attributable entirely to the interest income attributable to the fixed income
securities reflected in the Total Return Index. The Total Return Index does not
actually hold any fixed income securities. If the Fund's Treasury Income, Money
Market Income and T-Bill ETF Income, if any, exceeds the Fund's fees and
expenses, then the amount of such excess is expected to be distributed
periodically. The market price of the Shares is expected to closely track the
Excess Return Index. The aggregate return on an investment in the Fund over any
period is the sum of the capital appreciation or depreciation of the Shares over
the period, plus the amount of any distributions during the period.
Consequently, the Fund's aggregate return is expected to outperform the Excess
Return Index by the amount of the excess, if any, of the Fund's Treasury Income,
Money Market Income and T-Bill ETF Income over its fees and expenses. As a
result of the Fund's fees and expenses, however, the aggregate return on the
Fund is expected to underperform the Total Return Index. If the Fund's fees and
expenses were to exceed the Fund's Treasury Income, Money Market Income and
T-Bill ETF Income, if any, the aggregate return on an investment in the Fund is
expected to underperform the Excess Return Index.

                                       26

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FOR THE THREE MONTHS ENDED JUNE 30, 2021 COMPARED TO THE THREE MONTHS ENDED JUNE 30, 2020

Fund Share Price Performance


For the three months ended June 30, 2021, the NYSE Arca market value of each
Share increased from $16.61 per Share to $19.25 per Share. The Share price low
and high for the three months ended June 30, 2021 and related change from the
Share price on March 31, 2021 was as follows: Shares traded at a low of $16.62
per Share (+0.06%) on April 5, 2021, and a high of $19.30 per Share (+16.20%) on
June 8, 2021. The total return for the Fund on a market value basis was 15.89%.

For the three months ended June 30, 2020, the NYSE Arca market value of each
Share increased from $11.26 per Share to $12.32 per Share. The Share price low
and high for the three months ended June 30, 2020 and related change from the
Share price on March 31, 2020 was as follows: Shares traded at a low of $10.52
per Share (-6.57%) on April 27, 2020, and a high of $12.46 per Share (+10.66%)
on June 22, 2020. The total return for the Fund on a market value basis was
9.41%.

Fund Share Net Asset Performance


For the three months ended June 30, 2021, the NAV of each Share increased from
$16.56 per Share to $19.23 per Share. Rising commodity futures contracts prices
for Light Crude Oil, Ultra Low Sulphur Diesel, Aluminum, Gold, Corn, Wheat, RBOB
Gasoline, Natural Gas, Silver, Zinc, Copper Grade A, Soybeans, Sugar and Brent
Crude Oil during the three months ended June 30, 2021, contributed to an overall
16.41% increase in the level of the Index and to a 16.41% increase in the level
of the DBIQ-OY Diversified TR™. The total return for the Fund on a NAV basis was
16.12%.

Net income (loss) for the three months ended June 30, 2021 was $325.5 million,
primarily resulting from $0.2 million of income, net realized gain (loss) of
$209.6 million, net change in unrealized gain (loss) of $120.8 million and net
operating expenses of $5.0 million.

For the three months ended June 30, 2020, the NAV of each Share increased from
$11.29 per Share to $12.30 per Share. Rising commodity futures contracts prices
for Light Crude Oil, Aluminum, Gold, RBOB Gasoline, Natural Gas, Silver, Zinc,
Copper Grade A, Soybeans, Sugar and Brent Crude Oil were partially offset by
falling commodity futures contracts prices for Ultra Low Sulphur Diesel, Corn
and Wheat during the three months ended June 30, 2020, contributing to an
overall 9.19% increase in the level of the Index and to a 9.23% increase in the
level of the DBIQ-OY Diversified TR™. The total return for the Fund on a NAV
basis was

8.95%.

Net income (loss) for the three months ended June 30, 2020 was $68.8 million,
primarily resulting from $1.0 million of income, net realized gain (loss) of
$(126.5) million, net change in unrealized gain (loss) of $195.9 million and net
operating expenses of $1.6 million.

FOR THE SIX MONTHS ENDED JUNE 30, 2021 COMPARED TO THE SIX MONTHS ENDED JUNE 30, 2020

Fund Share Price Performance

For the six months ended June 30, 2021, the NYSE Arca market value of each Share increased from $14.70 per Share to $19.25


per Share. The Share price low and high for the six months ended June 30, 2021
and related change from the Share price on December 31, 2020 was as follows:
Shares traded at a low of $14.63 per Share (­0.48%) on January 4, 2021, and a
high of $19.30 per Share (+31.30%) on June 8, 2021. The total return for the
Fund on a market value basis was 30.95%.



For the six months ended June 30, 2020, the NYSE Arca market value of each Share decreased from $15.96 per Share to $12.32


per Share. The Share price low and high for the six months ended June 30, 2020
and related change from the Share price on December 31, 2019 was as follows:
Shares traded at a low of $10.52 per Share (-34.10%) on April 27, 2020, and a
high of $16.19 per Share (+1.44%) on January 7, 2020. The total return for the
Fund on a market value basis was -22.81%.

Fund Share Net Asset Performance

For the six months ended June 30, 2021, the NAV of each Share increased from $14.66 per Share to $19.23 per Share. Rising

commodity futures contracts prices for Light Crude Oil, Ultra Low Sulphur Diesel, Aluminum, Corn, Wheat, RBOB Gasoline, Natural

Gas, Zinc, Copper Grade A, Soybeans, Sugar and Brent Crude Oil were partially offset by falling commodity futures contracts prices

for Gold and Silver during the six months ended June 30, 2021, contributing to an overall 31.73% increase in the level of the Index

and to a 31.75% increase in the level of the DBIQ-OY Diversified TR™. The total return for the Fund on a NAV basis was 31.17%.


Net income (loss) for the six months ended June 30, 2021 was $ 500.7 million,
primarily resulting from $0.4 million of income, net realized gain (loss) of
$277.8 million, net change in unrealized gain (loss) of $230.8 million and net
operating expenses of $8.4 million.

For the six months ended June 30, 2020, the NAV of each Share decreased from $15.94 per Share to $12.30 per Share. Falling

commodity futures contracts prices for Light Crude Oil, Ultra Low Sulphur Diesel, Aluminum, Corn, Wheat, RBOB Gasoline, Natural

Gas, Zinc, Copper Grade A, Soybeans, Sugar and Brent Crude Oil were partially offset by rising commodity futures contracts prices

for Gold and Silver during the six months ended June 30, 2020, contributing to an overall 22.97% decrease in the level of the Index

and to a 22.72% decrease in the level of the DBIQ-OY Diversified TR™. The total return for the Fund on a NAV basis was -22.84%.

                                       27

--------------------------------------------------------------------------------
Net income (loss) for the six months ended June 30, 2020 was $(310.3) million,
primarily resulting from $5.7 million of income, net realized gain (loss) of
$(191.0) million, net change in unrealized gain (loss) of $(121.0) million and
net operating expenses of $4.0 million.

Critical Accounting Policies


The financial statements and accompanying notes are prepared in accordance with
U.S. GAAP. The preparation of these financial statements relies on estimates and
assumptions that impact the Fund's financial position and results of operations.
These estimates and assumptions affect the Fund's application of accounting
policies. In addition, please refer to Note 2 to the financial statements of the
Fund for further discussion of the Fund's accounting policies and Item 7 -
Management's Discussions and Analysis of Financial Condition and Results of
Operations - Critical Accounting Policies on Form 10-K for the year ended
December 31, 2020.

Off-Balance Sheet Arrangements and Contractual Obligations


In the normal course of its business, the Fund is a party to financial
instruments with off-balance sheet risk. The term "off-balance sheet risk"
refers to an unrecorded potential liability that, even though it does not appear
on the balance sheet, may result in a future obligation or loss. The financial
instruments used by the Fund are commodity futures, the values of which are
based upon an underlying asset and generally represent future commitments which
have a reasonable possibility to be settled in cash or through physical
delivery. The financial instruments are traded on an exchange and are
standardized contracts.

The Fund has not utilized, nor does it expect to utilize in the future, special
purpose entities to facilitate off-balance sheet financing arrangements and has
no loan guarantee arrangements or off-balance sheet arrangements of any kind,
other than agreements entered into in the normal course of business noted above,
which may include indemnification provisions related to certain risks service
providers undertake in providing services to the Fund. While the Fund's exposure
under such indemnification provisions cannot be estimated, these general
business indemnifications are not expected to have a material impact on the
Fund's financial position. The Managing Owner expects the risk of loss relating
to indemnification to be remote.

The Fund has financial obligations to the Managing Owner and the Commodity
Broker under the Trust Agreement and its agreement with the Commodity Broker
(the "Commodity Broker Agreement"), respectively. Management Fee payments made
to the Managing Owner, pursuant to the Trust Agreement, are calculated as a
fixed percentage of the Fund's NAV. Commission payments to the Commodity Broker,
pursuant to the Commodity Broker Agreement, are on a contract-by-contract, or
round-turn, basis. As such, the Managing Owner cannot anticipate the amount of
payments that will be required under these arrangements for future periods as
NAVs and trading activity will not be known until a future date. The Fund's
agreement with the Commodity Broker may be terminated by either party for
various reasons. All Management Fees and commission payments are paid to the
Managing Owner and the Commodity Broker, respectively.

© Edgar Online, source Glimpses

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