Cash In On Commodities
Over the past 140 years, the typical commodities bull market has lasted about 18 years. The current boom kicked off in 1999, so it may have another nine years left to run.
If you want to put assets into the hard assets themselves, there are dozens of exchange-traded (ETFs) that track a commodities index. iShares S&P GSCI Commodity Indexed Trust follows an index heavily weighted to energy prices while PowerShares DB Commodity Index Trading Fund follows an index of crude oil, heating oil, aluminum, corn, wheat, and gold.
Another option is to invest in exchange-traded notes (ETNs) such as iPath Dow Jones-AIG Commodity Index Total return and RICI-Total return Elements, both of which track diverse indexes.
ETNs are new but some believe they won't generate taxable income until they're sold or redeemed, and favorable long-term capital gains rates might apply.
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If you want to put assets into the hard assets themselves, there are dozens of exchange-traded (ETFs) that track a commodities index. iShares S&P GSCI Commodity Indexed Trust follows an index heavily weighted to energy prices while PowerShares DB Commodity Index Trading Fund follows an index of crude oil, heating oil, aluminum, corn, wheat, and gold.
Another option is to invest in exchange-traded notes (ETNs) such as iPath Dow Jones-AIG Commodity Index Total return and RICI-Total return Elements, both of which track diverse indexes.
ETNs are new but some believe they won't generate taxable income until they're sold or redeemed, and favorable long-term capital gains rates might apply.
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posted by Bob Moser at
10:06 PM
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