Here we showed that a naturally occurring ether analog of lysophosphatidic acid, 1-O-octadecenyl-2-hydroxy-sn-glycero-3-phosphate (AGP), is a high affinity partial agonist of the peroxisome proliferator-activated receptor ␥ (PPAR␥ The peroxisome proliferator-activated receptors (PPARs) 2 are members of the nuclear receptor superfamily that are involved in the regulation of lipid metabolism, glucose homeostasis, cell differentiation, and motility (1-4). The nuclear receptor superfamily consists of several ligand-regulated transcription factors that include the steroid and thyroid hormone receptors, vitamin D 3 receptor, retinoic acid receptors, and the PPARs (5-7). The PPAR subfamily consists of three isoforms, PPAR␣, PPAR/␦, and PPAR␥. PPAR␥ has two isotypes, ␥ 1 and ␥ 2 , that differ by a 30-amino acid extension on the N terminus of PPAR␥ 2 . Genetic deletion of PPAR␥ 1 is embryonic lethal (8); however, deletion of PPAR␥ 2 causes minimal alterations in lipid metabolism (9). The effects of ligands on PPAR␥ and retinoid X receptor are mediated through their ligand binding domains (LBD), conserved regions of ϳ250 amino acids within the C-terminal half of the receptors (10). PPAR␥, like other PPAR isoforms, undergoes a conformational change that stabilizes the AF-2 helix upon binding of agonist. Upon activation, these isoforms heterodimerize with the retinoid X receptor and bind to the peroxisome proliferator-response element (PPRE) in the promoters of target genes (5-7, 11, 12).A number of natural ligands for PPAR␥ have been identified and include two main groups of compounds, fatty acids and phospholipids. PPAR␥ exhibits a modest preference for essential polyunsaturated fatty acids, including linoleic (13), linolenic (14), arachidonic (15), and eicosapentaenoic acids (16). PPAR␥ is also activated by the monounsaturated fatty acid oleic acid (17). Several oxidatively modified lipids bind to and activate PPAR␥, including 15-deoxy-⌬-prostaglandin J 2 (18, 19), 9-hydroxy-10,12-octadecadienoic acid, 13-hydroxy-10,12-octadecadienoic acid (20), the oxidized alkyl phospholipid hexadecyl azelaoyl phosphatidylcholine (21), and nitrolinoleic acid (22). Many of these endogenous molecules require high concentrations and are weak activators of PPAR␥, casting doubt about their physiological relevance as bona fide agonists. The thiozolidinedione (TZD) class of anti-diabetics, including rosiglitazone (Rosi), troglitazone, and pioglitazone, are full agonists with