Articles on Stock markets

News, Research and Analysis

Help Center
Investment Portfolios
Investment Terminology and Instruments
Technical Analysis and TradingAnalysis BasicsTechnical IndicatorsTrading ModelsPatternsTrading OptionsTrading ForexTrading CommoditiesSpeculative Investments
Cryptocurrencies and Blockchain
Retirement Accounts
Personal Finance
Corporate Basics
What do I need to know about investing in commodities?

What do I need to know about investing in commodities?

Investing in commodities is a little different than stock market investing. It is primarily done with derivatives, such as futures, and the strategies and lingo used are sometimes unique to the commodities market.

Of course, you can always get commodities exposure by investing in ETFs and mutual funds that invest in commodities for you. Investing in commodities can be a complex and volatile business, and, if you are going to invest in them, it is best to do so with the help an a specialized and experienced advisor.

If you plan on investing in corn futures or in gold instruments, if you plan to buy financial instruments reflecting the price of oil, or short the price of gas, familiar with both the underlying commodity and financial instruments reflecting their behavior.

Investing in commodities is not recommended for amateur investors.

Should I Invest in Gold?
Do I Need a more Specialized Financial Advisor?

Keywords: investments, portfolio management, asset allocation, commodities,