Commodities, whether they are related to food, energy or metals, are an important part of everyday life. Anyone who
drives a car can become significantly impacted by high crude oil prices. Anyone who eats might feel the impact of a
drought on the soybean supply. Similarly, commodities can be an important way to diversify a portfolio beyond traditional
securities – either for the long term, or as a place to park cash during unusually volatile or bearish stock markets.
(Commodities traditionally move in opposition to stocks.)
It used to be that the average investor did not invest in commodities because doing so required significant amounts of
time, money and expertise. Today, though, there are a number of different routes to the commodity markets, and some of
these routes make it easy for even nonprofessional traders to participate.