How to Invest in Commodities? Just like stocks, commodities are a risky investment. Still, it's a good idea to understand the various markets, whether or not you invest through them. When markets are volatile, like they are now, traders tend to turn to less risky investments like gold. Understand What Commodities Are Like stocks and bonds, commodities are an asset class used in investing. Where stocks give you a piece of a company and bonds are a form of debt, investing in commodities gives you market exposure to real-world assets like oil, gold, corn, and pork bellies. Commodity Types Commodity investing is commonly broken down into these four main categories: Agriculture: Agriculture includes crops grown around the world like corn, soybeans, wheat, rice, barley, cocoa, coffee, cotton, and sugar. Energy: Crude oil, natural gas, and similar products make up the energy category. Livestock: Cattle, hogs, and meat products like pork bellies. Metals: This categ...
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