| From Morningstar.com: True, there are a lot of data pointing to the long-term benefits of commodities as a portion of a long-term portfolio. For one thing, commodities--and here I'm talking about the prices of actual, physical stuff like metals, agricultural goods, and energy products--have a relatively low correlation with the price performance of traditional asset classes like stocks and bonds.
That diversification ability, in turn, can improve a portfolio's risk/reward profile, even though commodity prices are extraordinarily volatile in and of themselves..............................................Full Article: Source
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