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8. iPath DJ-UBS Natural Gas TR ETN (GAZ)

Over the years I think I’ve gotten more complaints about this fund than others. According to Index Universe, an ETF analysis firm: “GAZ is one of two exchange-traded products that provide exposure to front-month natural gas futures. One, the United States Natural Gas ETF (UNG), is a perfect ETF, doing exactly what it claims it will do. GAZ, on the other hand, stopped creating new shares about two years ago. As a result, it now trades at a massive and artificial premium to fair value: At the close of trading today (June 18, 2012), it was trading at a 44% premium to its fair value. Our question: Why does anyone in their right mind buy a product trading at a 44% premium, which could disappear at a moment’s notice?” Good question. Weird.

Barclays Capital, which issues iPath funds, declined comment.

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