Commodities ETF

By Ahmad Hassam

Many people are not aware that commodities as an asset class has a lot of potential especially in the 21st century. It is being predicted that the 21st century belongs to the commodities. If you are interested in investing in commodities than you can invest in a commodity mutual fund!

There are many mutual funds that invest in commodities. Just visit the Morningstar site and you can get the list of such mutual funds that invest in commodities. Just buy the shares of the commodity mutual fund and let its NAV appreciate before you can sell for a capital gain. This is the simplest way for you to get involved in investing in commodities as the mutual fund portfolio management will be done by a professional manager and you have to do nothing. But are mutual funds the best investment vehicles for your wealth building objectives.

Now, you must have heard about the Exchange Traded Funds (ETFs). ETFs are really hot investments these days. ETFs started off some three decades back but became highly popular as investment vehicles in such a short time.

Driven by the growing demand of commodities by the investors many financial institutions are now offering Commodity ETFs. Now the good thing about investing in ETFs is that they give you the diversification benefits of a mutual fund with very low fees something like 0.7% as compared to 2-4% of the mutual fund.

So how about investing in commodity ETFs? Unlike a mutual fund whose net asset value is calculated at the end of the day and the shares of mutual fund cannot be traded during the day, you can go both long or short on ETFs all the time. Something you cannot do with a mutual fund! ETFs have the added benefit of being able to trade like stocks giving you the powerful combination of diversification and liquidity. Trade your ETF shares just like you trade your stock shares. Anytime go long or short!

Now, you can find thousands of ETFs in the market on different market sectors, stock indexes, currencies, commodities and so on. This diversification plus liquidity benefit makes an ETF a better investment tool as compared to the mutual fund and the stocks.

The Deutsche Bank Commodity Index Tracking Fund is listed on AMEX and tracks the Deutsche Bank Liquid Commodity Index. This index is based on a basket of six commodities: light sweet crude oil, heating oil, gold, aluminum, corn and wheat. The first Commodity ETF in US was launched by Deutsche Bank in the start of 2006.

Now, every month a new ETF gets launched. There are a number of Commodity ETFs that track individual commodities like crude oil, gold and silver. Do your research on Commodity ETFs, you may find a good investment. This ETF invests directly in the commodity futures contract. Now one of the downsides of investing in this Commodity ETFs is that it can be fairly volatile as it is based on commodity futures contracts that get rolled monthly. Another downside to this Commodity ETF is that it is based on a basket of six commodities only. - 23199

About the Author:

Mr. Ahmad Hassam is a Harvard University Graduate. Trade Dow Futures . Learn Commodity Trading !

Use These Las Vegas Areas To Invest In Your Future

By Eddie "Double Down" Dean

If you love gambling, no matter where you stay in the world, you would have heard of Las Vegas, which is the undisputed Mecca of casinos globally. Las Vegas is an entertainment and tourism driven city, quite unique and spectacular in its own right. Its glittering streets ensure that it is the brightest city on earth as viewed from space. Millions of folks throng to Las Vegas for its many allurements and attractions of every kind.

Some choices for Las Vegas investment property are as below:

Paradise, Nevada:

Of all the areas in Las Vegas that are preferred by tourists and revelers, the Las Vegas Strip with its many attractions stands out as the most charming area in all of Vegas. The Las Vegas Strip is incidentally located in an area called Paradise, Nevada, which in turn is a part of Clark County. Paradise boasts the McCarran International Airport and a population which as of 2005 was a whopping 200,000. Paradise has many residential options and properties waiting to be picked up by discerning buyers. While prices may be a little steep, these are understandable given the strategic location of the area.

Winchester:

A part of the Las Vegas Strip extends into Winchester, which is in the Clark County, Nevada. The locality has a population close to 30,000 and offers homes with a median home value of around $101,000 which is much lower than the national average of around $111,000. There are a large number of residential types that one can pick and choose from, ranging from apartments and condos to villas and mansions that could cost a lot of money. Given the fact that one gets the opportunity to own property in the vicinity of the world famous Las Vegas Strip, this certainly seems to be a good deal.

Summerlin:

If you enjoy the good life and want a rather idyllic surrounding, Summerlin is just the right locality for you to set up your dream home. It is located in the Spring Mountains, which guarantees its wonderful weather that is fit to die for. It has a large number of golf courses (7 to be precise), which make it quite the place to be if you are an avid golfer. It also has the famous Las Vegas Museum of Art which is the delight of art lovers who reside or visit the area. If you want to live among the 60 or so enchanting parks, in the lap of nature, do hurry up and check out Summerlin properties. There are a large variety of houses and apartments, mansions and villas that you can easily consider. - 23199

About the Author:

Eddie Dean uses Las Vegas vacation properties to fuel his desire to become a poker champion. He also tutors individuals on the side about investment property.

Understanding Good ETF Trading Strategies

By Patrick Deaton

As an investment vehicle that can promise a consistent -- and sometimes exceptional -- rate of return on investment (ROI), exchange traded funds can really deliver. Getting a handle on ETF trading strategies will be necessary, though, before jumping into investing in ETF's in any meaningful way. There are a few things to know, first of all, about exchange traded funds.

In a way, an ETF is similar to a mutual fund in the way it is constituted and run by a fund manager. Usually, though, almost every exchange traded fund limits its membership to what are known as institutional investors. This means large investors capable of buying and selling big blocks of stocks known as creation units. There are ways, though, for small investors to get in on the action through a trading system.

Think of ETFs as similar to corporate stocks, also, because of the way they are bought or sold or traded and you'll be well on the way to understanding the general principles that underlie these funds. Just about every one of these funds also tracks one of the major market indexes such as the S&P 500, so following trends or tracking trends can be one good way to set up a trading strategy.

There are more strategies out there that can probably be counted, though they usually fall into a couple of major categories; fundamental and technical. For those with the savvy, or patience, to sit down and learn technical strategies, the rewards can be quite lucrative. Most traders using technical indices believe they can discern patterns or shapes in a stock chart, basically.

For those with the ability to pick out shapes and patterns in market movements -- by analyzing a stock chart -- the possibility of good income is very real. These movements can signal upward and downward movement in markets that can be timed through technical analysis, with the correct buy and sell orders put in at the right times.

Probably one of the most ubiquitous strategies when it comes to technical trading is to employ what traders call a moving average cross. These crosses attempt to line up the short-term movements in the price of a stock or a fund and then place that short-term movement over a long-term trendline in the market or the stock. Short-term movements over-- to 25 days can establish the moving average line.

Once the moving average line can be established, traders then take that line and lay it over the analysis of the short-term movements in order to pick out the actual movement in the price of a stock or asset such as held in an ETF will result in after the stock crosses over the moving average line. The second part involves long-term trends, which use a 50 day moving average in order to smooth out the short-term trend.

Employing this strategy, traders can look at trends in the long-term and develop the moving support line. Those who are skilled at this strategy can pick out the right time to buy a stock at the bottom of its upward climb or at the point when the stock has touched or lightly penetrated the 50 day average. One can also use it to sell the stock short in an effective manner. Money is usually made on the margins. - 23199

About the Author:

Learn how it's very possible to make 6% per month in your investment accounts using etf trend trading! "Big A" is a recognized expert in the world of etf trend trading system and reveals etf secrets that have been kept under wraps by hedge traders for years. Give him your email and get a free report and webinar today!

Trading Forex?

By Kris Deaney

Lots of individuals are getting interested in trading Forex. There are various reasons for this, but the main ones are the ease of entry into the marketplace, the chance to make the most of markets no matter what direction they're going in and also the leverage that's available for traders.

These are all good reasons to trade Fx, however a trader should be careful. Leverage as an example can be a drawback as well as an advantage, if a trader doesn't totally understand the way to manage their risk.

That's why it's very important for a trader to stick to a strong trading strategy, before they start trading within the market.

The other issue they will have to consider, is how to find a very good Forex broker. Sadly, the Forex market is not regulated. This means that brokers can actually do as they like, and a few opt to to act in unscrupulous ways.

Signing up with a high quality Forex broker means that an individual will be able to avoid things like slippage. Slippage is where a broker can re-quote a price that a trader wants to buy or sell at. This will invariably occur to some extent, particularly during quick moving marketplaces, but top quality brokerages can keep this to the bare minimum.

A good broker will also provide traders low spreads. Essentially the spread is the difference between the bid and ask price, or in other words, what a currency can be bought and sold for at any given time.

The higher the spread the more pricey it will be to trade. Top quality brokers give lower spreads. They can additionally give the opportunity for coaching and education, so that traders can develop industry experience with their trading strategies.

It additionally means that they will provide traders with the opportunity to receive up to the minute financial info, so that they're conscious of world events and the release of economic data, plus having the ability to use professional charting tools, as any other professional bank trader could.

Brokers both good and low quality can additionally give a trader the possibility to use leverage in a trade. For those unsure what this is, if for instance a trader trades at ten:1 leverage, they will only need to place down one dollar for each 10$ that they buy within the market. twenty:one would be one dollar for each $20 that's traded in the market.

When leverage is employed as part of a trading plan, where the risk is manged, then it will give extremely good opportunities for increasing profits. But, each trader has to realize that it can amplify looses very quickly and as a result of of that it should be treated with caution, particularly by novices. - 23199

About the Author:

To read an independent report of the Best Forex Brokers, simply Check This Out.

How To Choose The Best Forex Signal Service?

By Jimmy Karter

A reliable and fast forex signal service is the best thing which a retail trader can ask for while trading in the currency market. A good forex signal service provider can be a big difference between the amount of profits or losses a trader can make in the forex market. Before going into the detail of forex signal service, first let us see what exactly a forex signal is. A forex signal is nothing but an automated signal provided by some agency based on the currency movement in forex market.

These forex signals are sent out by various forex signal service providers which can be financial agencies, independent brokers or other institutions. This service is availed not only beginners in forex market, but also by experienced traders since it saves a lot of time and effort in monitoring and following events in the currency market. Based on these signals, the traders are able to make the sell or buy decisions quickly without having to go through the hassles of being updated every minute.

As I mentioned above, these signals are provided by various agencies. Some of these agencies provide this service absolutely free of cost. On the other hand, some agencies charge some amount of monthly subscription fee based on the type of signals being subscribed to. The difference in these two types of signals is the quality of signals provided by the agency. As you can guess, the free service sends out all types of signals as generated by the automated system which keeps track of the currency movement. The subscription based provides have experts who filter out the relevant signals before sending out to the traders. Therefore, paid subscriptions are way better than the free ones.

Choosing a good forex signal service provider takes some time and research. While choosing a signal provider, the trader should not consider the cost of subscription alone. The most important consideration should be the past performance of the service provider. Since, you are going to invest your hard earned money based on these signals, you should be pretty sure that these signals are reliable. The service provider should have proven track record over last couple of years.

The other factors to consider while choosing the signal provider are the speed of the service, mode of sending out the signals and alerts, spread of their recommendations and back testing results. Experts believe that is it better for beginners to make use of subscription based service. You should compare these features between various service providers to choose the best forex signal provider for yourself. You can make use of internet to research and compare various signal providers to choose the best possible one. - 23199

About the Author:

The author writes articles on forex trading including best forex signal software and best forex signal service .