There are no commodity value plays that I'm aware of that I'm willing to step into at current prices. (I'm excluding oil/gas from my comments here.)
That said, I already have positions in several related stocks, e.g. couple mining stocks, Brazil stuff, and some commodity plays.
I'm following Jim Rogers and going with his picks of RJA and GRU. Also DBA. In with buys in May and July, I'm up about 3% with one, and down about 5 & 6% with the others. I bought these because, 1) I wanted to have an exposure to commodities, and 2) I wanted something that "they" said wasn't correlated with equities (correlated with the stock market).
finance.yahoo.com
So far that seems to be so, the market being up and these 'stocks' not. We're different here, with different amounts of money to invest/speculate, different time frames, different goals. So the way we look at positions will be different too. I don't care that these three commodity plays don't go up. I'm looking at them as just a small insurance policy and as tracking positions. So as long as these things don't crater, and as they continue to reduce some volatility with common stocks, I'll hold, I believe. Somebody more aggressive might take the tack to just wait to see when/if these commodity plays move and then hop aboard. For me, I have no problem now being in and just waiting. If I were looking to beef up my commodity play (:>) pun, sorry -g-), for me, I might buy more of these three. |
