Commodities Investing

An Unprecedented Moment for a New Crypto Commodity

An Unprecedented Moment for a New Crypto Commodity

In the previous parts of our “Why Diamonds?” series, we explained that as an uncorrelated and under-allocated asset, diamonds can play an important role in investor portfolios. In this final installment, we describe how the unique characteristics of diamonds combined with the emergence of blockchain and cryptocurrencies has created an unprecedented moment for creating superior […]

An Under-allocated Investment with Pent-Up Demand

An Under-allocated Investment with Pent-Up Demand

Diamonds are a $1.2 trillion natural resource, more than silver and platinum combined. As a durable hard-asset, diamonds are just like precious metals and a reliable store of wealth. In the first part of our “Why Diamonds?” series, we shared insights on diamonds as an important feature for portfolio diversification as an uncorrelated asset. In this installment, […]

Why Invest in Diamonds?

Why Invest in Diamonds?

Diamonds are a $1.2 trillion natural resource, uncorrelated to stocks and negatively correlated to gold and silver with significantly less volatility than these asset classes. Diversification is essential for asset preservation, risk management, and consistent returns. Investors seek to combine uncorrelated assets, and for this reason, diamonds are an extremely attractive asset. They often produce […]

The Three Best Income Plays on the Future of Energy

The Three Best Income Plays on the Future of Energy

Russia’s invasion of Ukraine massively disrupted the European energy scene. The crisis revealed what I believe will be the energy story for the next decades: liquefied natural gas (LNG) is the fuel source to power the globe. A recent report from Texans for Natural Gas highlights how the LNG market has shifted dramatically in response […]

Why Mining Companies Might Be Musk’s Next Target

Why Mining Companies Might Be Musk’s Next Target

Elon Musk has certainly been busy: first, he bought Twitter, and now there’s news that his car company, Tesla (TSLA), may be looking to take a major stake in one of the world’s mining giants. The Financial Times reports that last year, Tesla began preliminary talks with Swiss commodities company Glencore (GLNCY) about taking a […]

Learn to Love What Wall Street Hates

Learn to Love What Wall Street Hates

One of my favorite places to hunt for dividend stocks is among the companies Wall Street is avoiding—and chiefly among these, at the moment, are materials stocks. Wall Street is fearful a deep recession will hurt demand for materials, especially industrial metals, so it keeps selling off these companies’ stocks. Meanwhile, Wall Street is also […]

Trade of the Week: Steel

Trade of the Week: Steel

The steel industry showed up on the unusual options volume radar last week, with both United States Steel (X) and Nucor (NUE) near the top of the list.  NUE preannounced much lower than expected earnings, and X was expected to follow suit. At least some traders were snatching up blocks of short-term X puts, possibly […]

This Lithium Stock Is Up 120% and Could Run Higher

This Lithium Stock Is Up 120% and Could Run Higher

By now, everyone has heard how the shortage of semiconductors has constrained production from automakers. Well, move over semiconductors, now the lack of lithium supply threatens to hold back the entire electric vehicle (EV) revolution. And just months ago lithium carbonate prices high all-time highs. Some prices for the key metals used in batteries for […]

Here’s Where to Find Copper Mining Bargains

Here’s Where to Find Copper Mining Bargains

For thousands of years, the dual histories of humans and copper mining have intertwined. Copper is one of the few metals occurring in nature in a directly usable metallic form. This led to very early human use, beginning around 8000 BC. Thousands of years later, it was the first metal to be smelted from sulfide […]