05.03.2013 - 3 things you need to know when picking a commodity ETF
Suppose that natural gas prices are on the rise and you’d like to capitalize. Like most retail investors, exchange-traded funds (ETFs) are probably the first thing that comes to mind, as they’re a lot easier to buy than commodity contracts. So, you decide to purchase a natural gas ETF that holds natural gas futures contracts of its own, in order to capitalize on this bullish investment thesis over the coming three months. Now, imagine that natural gas prices rise by 10% over this period, and you’re ready to sell and book the profit...............................................Full Article: Source
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