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A commodities fund is a "Basket" or group of commodities that have been pooled together in order to manipulate risk. The fund is usually created and managed by a fund manager, who then sells investment in his fund based upon his / the funds buying philosophy, (a loose example my be something such as 30% of monies go to crude oil, 30% to Gasoline, 20% to heating oil and 20% to natural gas.)
For example, an Energy Fund may include investments in various energy commodities such as crude oil, heating oil, gasoline and natural gas. A "Metals" fund may contain various investments in precious or semi precious metal commodities investments. etc. etc. Some funds focus more on a specific fund manager, or a particular exchange rather than a specific market sector.
By investing in the fund vs one single commodity investors often aim to amortize short term price fluctuations, and take advantage of longer term trends.
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What is meant by 'commodities funds'?
A commodity fund is a true in which you reverse a paradox you will get a win-win situation. Say for example, you have a gold that also holds a pure gold, then that is considered as true commodities funds.
How does a hedge fund differ from a fund of funds?
A hedge fund is an investment vehicle that can invest in equities, bonds, commodities, currencies, optiones, futures, and non-traded companies, among other instruments. A fund of funds is an investment vehicle that invests in a portfolio of hedge funds (or other funds).
What services are offered by Man Investments?
Services offered by Man Investments are providing mutual fund advice, mutual fund brokers, hedge funds advice and financial year valuations on commodities.
What are some examples of commodities etf?
The acronym ETF stands for 'exchange-traded fund', referring to investments that can be bought and sold like stocks. Some of the ETF commodities currently on the stock market include the PowerShares Global Agriculture Portfolio and the Market Vectors Gold Miners ETF.
Is a specialty fund type of stock fund or mutual fund?
A specialty fund is basically a fund that specializes in a certain investing approach or asset class. For example within stock funds you can have small cap funds (funds that focus on investing in smaller companies), value based investors (funds which focus on valuations in their investment decisions), or small-cap value fund (combination of those two), and so-on. An example of an asset class specialty would be a commodities fund. For a range of different fund types see: http://www.fundterms.com/search/label/Term%20Group%20-%20Fund%20Types
What is the ease of trading an investment?
The ease of trading an investment refers to how liquid and easy to trade an investment is. Commodities, for example, have a lower ease of trading than mutual fund holdings.
What changes observed in primary commodities?
The freshness of the primary commodities is the observed changed. Primary commodities refers to the commodities in unprocessed state.
Does scottrade deal in silver futures?
No. Scottrade does NOT trade in any Futures. The only way they allow you to trade silver is through an ETF (Exchange Traded Fund), and that goes for all other commodities as well.
What is a buyer and seller of commodities for profit called?
It depends: are we talking about commodities CONTRACTS, or the commodities themselves? A person who specializes in buying and selling commodities futures and options is a commodities broker. Someone who buys and sells the physical good--lumber, wheat, whatever--is a commodities dealer.
Is Gold or Platinum the better 'inflation hedge' investment?
Both are good inflation hedges, but I would recommend a basket of commodities to diversify your bet. Try the ETF, PowerShares DB Commodity Idx Trking Fund.
Is there a reputable Commodities Funds broker located in Detroit, MI?
Yes the best place to check out the choice of good and reputable Fund brokers in Detroit will be at the Yellow Pages- http://www.magicyellow.com/category/Stock_and_Bond_Brokers/Detroit_MI.html
What is meant by the term commodities and futures?
Commodities are services and goods. Soft commodities are goods that are grown, hard commodities are goods that are mined. A futures is a contract to buy commodities or financial instrument set in certain time in the future. These contracts are traded.
