Stocks are best because you can very easily diversify and cover a much wider spectrum of the economy. Diversification also reduces risk. They are very liquid and easy to buy and sell. You can also have a passive portfolio such as index ETFs where no work at all is required but the portfolio tracks the market in general.
2007-08-13 00:17:02
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answer #1
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answered by Stamatios D 5
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If you're talking about commodities and commodity futures, these are very risky, very volatile assets which need a great deal of experience to trade, and even then can land you in trouble.
Commodity stocks, on the other hand, are an excellent choice right now. That is, stocks of companies who produce commodities - eg mining companies, gold, steel, energy companies.
Most commodity funds are actually investing in commodity stocks rather than futures; it's a good (safer) way to access the market.
good luck!
2007-08-13 07:34:06
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answer #2
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answered by hatbang57 2
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Investing in commodities and futures are riskier than stocks. But word of caution, invest in sound stocks - stocks with history of income, giving out cash or stock dividend.
2007-08-13 07:23:13
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answer #3
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answered by sandra y 4
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It's not a question of which. It's a question of the right "asset allocation" between;
Domestic Stocks
REITS
BONDS
Commodities
Emergency Savings
International Stocks
The number one indicator of a successful long term investor is the right "Asset Allocation". There are many good books out there for the new investor that go into the importance of "Asset Allocation". Save yourself thousands of dollars and read up on it.
2007-08-13 07:20:08
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answer #4
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answered by Common Sense 7
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i think money invest in a stock is more risk er as many people had the change of losing it if he/she had not invest a huge amount of capital in the stock
2007-08-13 07:19:22
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answer #5
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answered by arna a 1
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stocks will be a better option. Most fund managers and investment bankers favor stocks.
2007-08-13 07:26:13
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answer #6
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answered by Insurance 3
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