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Commodities & precious metals at True Fort Capital

More diversification
for your portfolio

Trade over 20 different commodities with the True Fort Broker now. Simply invest in
individual commodities or entire baskets - in savings plans already from €1.

Commodities LP Broker Home  Q3 2024- EN

What are commodities?

Commodities are natural resources that occur in nature and are processed for various purposes.
The most important characteristics:

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They are an essential part of the economy, as they are needed in the production of various products.

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Their performance usually shows little correlation with the performance of stocks or bonds.

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Their prices can be influenced by unpredictable factors such as natural disasters or economic booms.

Commodities include the following products:

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Energy

(petroleum)

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Precious metals

(gold, silver, platin, palladium)

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Agricultural commodities

(coffee, wheat)

Icon-Minerals

Minerals

(phosphorate, sulphur)

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Industrial metals

(copper, aluminium)

Ways to an investment in commodities

At Scalable Capital, you can buy stocks of commodity companies or speculate with derivatives on the price development of commodities. Or you can invest with cost-effective exchange traded products (ETPs) in the development of commodity prices.

Stocks

Buying a stock, investors can acquire parts of a company, which produces or trades commodities.

Commodity-ETPs

Commodity ETFs

track the price of a basket of selected commodities.

Commodity ETCs

track the performance of a single commodity.

Derivatives

Derivatives allow speculation on commodity prices.

Advantages ETPs

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Simple access to investments in commodities

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As easy tradable as stocks and ETFs in the Scalable Broker

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Lower costs than physical acquisition of commodities

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Some ETPs are physically backed

Disadvantages ETPs

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No physical trading of the underlying commodity

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Insolvency of the issuer can lead to a substantial loss up to total loss

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The performance may deviate from that of the underlying

Variety and potential for your portfolio

Investing in commodities can be beneficial due to additional stability & protection against inflation.

Commodity prices are usually little connected to the development of the stock market and can thus contribute to the diversification of the portfolio. Furthermore, commodities have historically often acted as a hedge against inflation, when the price level rises. The chart shows how commodities and equities have performed in the four major inflation outbreaks of the last 150 years.

The chart shows how commodities and equities have performed in the four major inflation outbreaks of the last 150 years.

Source: justETF , April 2023

Invest in commodities - simple in 3 steps

Easily open a securities account at True Fort Broker and get started.

1. Choose the desired commodity security. 2. Create an order or set up a savings plan. 3. Hold the commodity in your securities account or sell at any time.