Best way of investing in Commodities

[notforgoogle]

Hi all

I was looking to invest in commodities - in particular Wheat and Soya Bean. What is the best way of doing this and where can this be done.

I have looked into the various Commodity indicies e.g Goldmans Commodity Index but this means tracking a whole basket of commodities.

If someone could point me in the right direction to invest in a particular commodity and the instrument and platforms I could do this with? e.g. could I buy a CFD or Spread on Wheat or is it better to buy a Future on these commodities as I am looking to invest over a longer term?

Thanks for any suggestions

 

[n.jokic]

One possible way you can find ETFs which only invest in Agriculture part of commodities indexes.(ie. Market Access RICI-Agriculture Indexfond) or you can trade with futures of those comm.

 

[TriageTrader]

One possible way you can find ETFs which only invest in Agriculture part of commodities indexes.(ie. Market Access RICI-Agriculture Indexfond) or you can trade with futures of those comm.

One of the problems I have with some commodities ETFs is that the volume is too low.

For the bigger commodity ETF names like DJP, DBC, RJI, etc., they are easier to trade. But commodity ETF's that are narrower in scope or inverse commodities ETFs have some wider spreads and a bit of a liquidity problem.

Especially for the inverse commodity ETFs, has anyone had good experiences with them? Also, any experience shorting commodity ETF's in non-retirement stock accounts?

 

[jackfutu18]

For more, get advices from experts in the markets. Check sources you find!

 

[Studog]

this may be useful:
http://ezinearticles.com/?Earning-an-Income-From-Day-Trading&id=3834624

 

[Probafix]

Understand Risk and always take the Stop loss..

 

[denissharper]

Commodity derivatives market specific "right to buy could be phrased as (sell) the underlying commodity in the future a predetermined price." If these derivatives are priced according to complex formulas. The simplest way possible to trade in goods, trade futures. In 2008 there were worldwide increase in commodity prices. However, the property was built before the 2009 bubble popped, low prices. New York Mercantile Exchange crude oil price has tracked and affects many companies. During the summer of 2008 oil prices were at a record high, prompting a high price at the pump, but prices retreated in the fall and winter of 2008 something.

 

[Janurary]

this may be useful:
http://ezinearticles.com/?Earning-an-Income-From-Day-Trading&id=3834624

You are right, I've got suggestions from this.

 

[BradanBrock]

Your Information Very Nice...............