There are many ways in which one can invest in commodities.
It could be directly by purchasing physical goods or through derivative contracts. The following are the trading contracts and instruments available in the market:
Cash (Spot) contracts
Derivative contracts
o Forward contracts
o Future contracts
o Options
o Swap contract
It could be directly by purchasing physical goods or through derivative contracts. The following are the trading contracts and instruments available in the market:
Cash (Spot) contracts
Derivative contracts
o Forward contracts
o Future contracts
o Options
o Swap contract