Investing in Natural Resources
Why Natural Resources?
Natural resources have historically been a compelling investment. Lumber, coal, and precious metals are needed in most industries. Countries around the world, especially emerging countries, have a growing need for these natural resources to grow their economy.
Natural resources are commodities, and as such are less affected by stock market volatility and can act as a natural buffer. While the negative correlation between stocks and natural commodities isn’t perfect, there is no doubt that natural resources will remain in demand, while stocks can soar up and crash at any time.