The Benefits of Commodities
Diversifying your Portfolio
With commodities, you can make your overall strategy more effective by diversifying your portfolio and managing risk. The more asset classes you include into your trading strategy as a whole, the more hedging and risk management strategies can be employed. Commodities are classic assets to combine into any trading portfolio.
There are clear statistical correlations between commodities and other assets, and strategies based on these correlations help to boost profits and cushion risk. For example, the relationship between CAD and oil. Being a major oil producer, Canada’s currency tends to rise when oil prices do.
Higher Growth Opportunities
Commodities tend to be more volatile than other asset classes, with large swings and movements alongside geopolitical events. This creates significant opportunities for traders to capitalize on larger moves, yet it should be noted that larger swings also represent an elevated level of risk.
Explore the Commodities Available for Trading
Large spectrum of commodities to trade
Low spreads and zero commission
Advanced charting tools & indicators