How to Build a Commodity Guru Portfolio
When it comes to commodity investing, there is perhaps no bigger name in the industry than the legendary investor Jim Rogers. As it is our understanding, Rogers has a rather bullish outlook on agricultural commodities, citing that prices are still depressed on a historical basis. The Wall Street Guru has also expressed his belief in investing in emerging markets, specifically in Asia, as the demand for energy and agricultural goods from these economies continues to rise alongside the booming populations across continent. For those investors who looking adopt an investment strategy that is inspired by the legendary investor (but one that is by no means endorsed by Jim Rogers), we outline an all ETF portfolio that is constructed with several key principles in mind that fall in-line with our understanding of Rogers’ outlook for various corners of the global market [for more agriculture allocation ideas subscribe to our free newsletter].
Jim Rogers: Commodity Bull Market Has No End in Sight
It seems like every day brings bolder statements from Jim Rogers, one of the most respected commodity investors of all time. Rogers has gone on the record recently with calls like gold will drop 20%, silver is a better buy than gold, and anyone who avoids commodities is a fool. But his new comments bring a wave of optimism to the world of commodity investing, especially for agricultural investments, as Rogers feels commodity prices will have to spike given the dismal outlook for the overall industry [for more commodity news and analysis subscribe to our free newsletter].
Jim Rogers: The Agriculture Industry is Doomed
Legendary investor Jim Rogers has long been a fan of agricultural assets and companies along with a number of other hard assets. His hard-nose investing theory has payed off quite handsomely, as his name has become renown around the world and investors hang on his every word. Unfortunately, his words as of late paint a relatively gloomy picture for the overall agriculture industry, as he feels that it will soon fall on hard times [for more agriculture news and analysis subscribe to our free newsletter].
The Biggest Commodity ETF Inflows Of 2011
2011 was a tough year for commodities, with the majority of investors watching their positions turn sour as equity markets wreaked havoc in the commodity space. But while finding gains for the year was a tall order, it is clear that investors are looking more and more to exchange traded products to make a play on the commodity space. Inflows to commodity ETPs surged this past year for a number of products, as these investment vehicles are quickly becoming the go-to space for exposure to this asset class [see also 12 High-Yielding Commodities For 2012].
Agriculture ETF Showdown: CROP vs. MOO
If Jim Rogers has taught us anything, its that agriculture exposure is a must for any investment portfolio. But buying corn or soybean futures and rolling on a steady basis seems impractical for keeping allocations to what might make up 1% of your overall holdings. Beyond futures products, there are a wide variety of equities tied to the agriculture sector, but picking the right one can be tricky business. Enter agribusiness ETFs. Products dedicated to offering exposure to a wide variety of firms tied to the agriculture sector, giving investors an equity spin on their favorite commodities like sugar, cotton, and cocoa [see also Three Things Wall Street Journal Didn’t Tell You About Commodities].
