Comments on: How can i do commodity trading? I have about 20,000 pounds to invest?

By: chef

chef — Sat, 28 Nov 2009 22:45:59 +0000

hey mate , why don’t you invested in a restaurant , if you have a good head chef and and a good sous chef and the menu is different be sure that you are a success in no time , i work as a sous chef in portsmouth and trust me the money the owner of my restaurant gian is incredible…. one day when i have a sum of money tha’s what i’m going to do … goodluck in whatever you choose
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By: Unbiased.co.uk

Unbiased.co.uk — Sat, 28 Nov 2009 22:02:59 +0000

The two most straightforward ways are through spread betting or exchange traded funds. The former is higher risk because you could end up losing far more than your initial investment, although will prove very profitable if you get it right. Gains from spread betting are also exempt from capital gains tax. Exchange traded funds track the price of commodities and are available for a wide range of individual and bundled commodity indices. Although still risky, this is likely to prove a safer route than spread betting. ETF Securities currently offers the most comprehensive range.
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Justin Modray – Head of Communications, Bestinvest Plc

Bestinvest was founded in 1986 and now acts on behalf of clients with investment assets exceeding £3.5 billion. Our in-house research team scrutinises every investment we recommend. In the case of funds, this includes a face to face interview with the fund manager and a full quantitative and qualitative analysis. As a result, our team interviews over 300 fund managers each year. Justin was the 2006 Unbiased.co.uk Media Services IFA of the year.

Disclaimer:
The answers above are for guidance only and should not be acted upon without you receiving independent financial advice relevant to your circumstances. To find an IFA please call 0800 085 3250 or go to http://www.unbiased.co.uk.

By: wilfred b

wilfred b — Sat, 28 Nov 2009 21:33:59 +0000

to be perfectly honest £20000 is not really enough to start commodity trading the fees and charges will whittle the amount down far to quick for you to able to trade at a profit you will require £20,000,000 to trade effectively. and that is the most sensible answer you will ever get forget even trying
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By: elray

elray — Sat, 28 Nov 2009 20:47:59 +0000

What ever type of trading U may wish to do, START with a fake account.
Example: Start trading at home on PAPER, writing it all down.
Buy, Sell, Buy, sell and if U make money on paper and feel confident then U may enter the markets.
Buy some books. Best of all is a book on Charting.
Only by understanding CHARTS do U have any chance of beating the Market.
There are some online offers for a trail (fake) account to practice your trading.
Remember it is all about RISK.
The more Risk the more profit.
Lowest risk = buy gold. Gold coins or gold bars only.
Medium = cash in bank.
High = share trading.
Higher = Commodities, Forex etc.
I almost forgot about TIME.
Do U have the Time to spend monitoring the market, reading All the info, news etc.
A market is open some where 24hrs a day, 7 days a week and they all effect you somehow.
Good Luck.
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By: Steve B

Steve B — Sat, 28 Nov 2009 20:10:59 +0000

Wrong term .. you say ‘invest’ .. if you are new to this game, the word you should use is ‘gamble’ (actually, ‘loose’ is even more accurate).

On the other hand, it’s your money, spend it as you see fit .. currency trading can be more fun than the horses, especially as you can loose a lot more in a much shorter time …
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By: Stamatios D

Stamatios D — Sat, 28 Nov 2009 19:52:59 +0000

Here is a sensible answer for you. Don’t.

If I were you, I’d invest in the stock market. Open an account with Schwab or similar online firm, diversify by buying index funds or ETFs, and hold forever, or until you need the money.
Also study about risk/return and diversification. Leave the commodity trading to the people who have real commodities to sell or buy.
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By: andrewtrades

andrewtrades — Sat, 28 Nov 2009 19:45:59 +0000

Commodity futures are highly volatile and with the way futures leverage and margin work, they can wipe out beginners in the blink of an eye.

You might want to look into exchange-traded funds (ETFs) which track various commodity sectors. They are less volatile than futures contracts, though some of them are also subject to weird settlement rules (so be sure to read up on how they work before investing in them).

There are ETFs for oil, gold, agriculture, and others out there. Check sites like CME.com and CBOT.com for more information.
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By: adeb

adeb — Sat, 28 Nov 2009 19:40:59 +0000

buy to rent or buying of shares.have you ever thought about that?pls be careful with that money because the day you decide to take a penny out of that money is the end of it.so lock it up in an account while you decide on what to do.good luck.
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By: RICHARD B

RICHARD B — Sat, 28 Nov 2009 19:24:59 +0000

Oh! futures. The trading flour is called the "Bear Pit"
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By: truthofmatter

truthofmatter — Sat, 28 Nov 2009 19:11:59 +0000

Don't get into futures unless you know what you are doing. You could lose everything overnight.
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