Broad exposure to a large basket of opportunities
Commodity trading has been done in India for ages. India was one of the major destinations of commodity trading for a few centuries and it has continued to be one of the destinations in today date also. The commodity is an asset class that is traded for profit-gaining purposes through price fluctuations. It included different types of commodities that are traded all over the world.
From funds that invest in precious metals such as gold and silver, to energy resources such as oil and natural gas, to agricultural goods such as wheat, commodity funds offer several potential benefits to investors, including portfolio diversification and a hedge against inflation.
Categories of Commodities
The commodity trading market is broadly categorized into few categories. These include Metals, Energy and Agriculture. Let us elaborate each one of them in brief
- Metals- Metals are considered as the key raw material and find usage in various manufacturing activities all around the globe. These metals are made available by nature in various forms in many countries. Most of these commodity trading economies have abundant resources to market it and sell it across the globe. Rising manufacturing and industrial activity have played major factors in metals commodity trading. These specifically include Silver, Gold, copper, aluminum, platinum, etc. These key metal commodities are traded on the exchanges
- Energy- Energy is the base material for any activity around the world. Also, the resources available for energy extraction are limited and with a handful of countries only. The demand and supply of these commodities derive from their price of it. These commodities largely include crude oil, natural gas, gasoline and heating oil, etc.
- Agriculture & livestock- Food is another major commodity that is traded all over the world and like the other two categories its resources and manufacturing are available to certain countries with certain categories. Each agricultural commodity cannot be produced everywhere in the world as each agricultural commodity has its own characteristics of growth in a specific climate. These agricultural commodities broadly include corn, soybean, wheat, rice, beans, tea, coffee, cotton, and sugar. In livestock pork, beef, and cattle are the major meat commodity in the market.
Benefits of Commodity trading with SSG Group:
- Multiple Access points for commodity exchanges
- User-friendly trading platforms
- Access to all key exchanges
- Strong back-office support.