04 / Real-world markets
Commodities, tied to
the world outside.
Gold, energy and industrial metals respond to supply, demand, currency and global events. Learn what makes these markets distinct.
The basic idea
Value with a physical story.
Commodity markets represent raw materials and resources used across economies. Exposure can behave differently from company shares, but it brings its own cycles and risks.
Major categories
Read the forces behind the price.
Gold and silver
Often influenced by currency, rates, inflation expectations, demand and investor sentiment.
Oil and gas
Supply decisions, geopolitics, inventories and consumption shape a market with visible volatility.
Copper and more
Manufacturing, construction and the pace of economic activity can affect industrial demand.
Know the route
Instruments can differ in settlement, expiry, leverage and tracking. Understand the structure first.
Portfolio role
Diversification with a different set of drivers.
Commodity exposure may add a return driver not tied directly to one company’s results.
Prices can move quickly with global events, currency changes, inventory surprises and liquidity.
Consider allocation size, time horizon and the specific product before participating.