Why trade in Commodity?
- Why trade in Commodity?
- Trading in Commodity futures has timings that extend from 10.00am to 11.30pm (11.55 during daylight saving)
- Commodity futures have a negative correlation with bonds and stocks. This correlation is strong over longer holding periods.
- During periods of inflation, the performance of Commodity futures is better. (Especially during unexpected inflation), when stock and bond returns are disappointing.
- The cyclical variation in stock and bond is diversified by Commodities.
- Hedge against other Asset Class
- Diversified Portfolio
- Quality Assurance
- Price Transparency