Commodities as an Alternative Investment

Commodities, such as “live cattle”, “lean hogs”, corn, soybeans, and wheat, are traded on commodity exchanges such as the Chicago Mercantile exchange.  They are an excellent alternative investment to stocks as they generally have a continuous and worldwide demand.

Commodities are often raw ingredients or components in other products, and may be processed to become other products.  For example, corn is made into corn syrup, corn meal, ethanol, plastics, and much more.

Investing in commodities options and commodities futures can have high rewards but also comes with a degree of risk.