Rydex Investments on Wednesday launched three new mutual funds: the Rydex Commodities Fund, the Rydex Strengthening Dollar Fund and the Rydex Weakening Dollar Fund.

The Rydex Commodities Fund will invest primarily in oil and other energy-related, commodity-linked derivative instruments, including swap agreements, commodity options, futures, options on futures and commodity-linked notes.

The currency funds will use leverage to match 200% of the performance of the U.S. Dollar Index for the strengthening fund, or its inverse performance for the weakening fund, on a daily basis. The U.S. Dollar Index measures the exchange rate between the greenback and six other major currencies, including the euro, the Japanese yen and the British pound.

"While commodities are an asset class with strong directional performance over the long term, currency trends tend to be shorter in duration and can be captured with a more opportunistic approach to take advantage of value swings," said David Reilly, chief portfolio strategist, Rydex.

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