Low risk commodities

d712

Hello

Out of interest, what commodities/shares etc are generally considered in layman's terms to be high risk investments? And what are considered to be low risk?

Aegis

Commodities in general are at the high end of the risk scale. I don't think you're too likely to find any that would be considered low risk as low risk tends to include cash and guaranteed accounts.

97trophy

all commodities are high risk

purch

all commodities are high risk

As are all Equity's

Anything that can regularly move 3 - 5 % (or more) in a day must be considered 'high risk'

wombat42_2

I think this must be a cue for me

Marlborough ETF Commodity Fund must be the least risky way of investing in commodities as it covers all commodities, allows shorting and also cash holdings.
http://www.h-l.co.uk/funds/security_details/sedol/B195JD8

The fund aims to iron out commodity volatility.

It's brief is to beat the CRB index (the most widely used commodity benchmark)
http://www.marketwatch.com/quotes/crb
and it has done that OK in the past. It moved a big chunk of the fund into cash in the second half of last year so it avoided much of the commodity downturn last year. It is only down 5% in the last 12 months which certainly beats almost all equity funds, FTSE100, DOW etc and also many corporate bond funds.

d712

So are there any low risk investments apart from fixed rate savings accounts?

wombat42_2

d712 wrote: »

So are there any low risk investments apart from fixed rate savings accounts?

I fancy L & G Diversified Absolute Return Fund - it is 90% cash and 10% diversified hedge fund

http://www.h-l.co.uk/funds/security_details/sedol/B3DPCY0