Tag Archives: commodities

Africa and the “resource curse”

Sub-Saharan Africa (SSA) is abundantly endowed with natural resources, whose value has increased in recent decades. But this has not led to increased benefits for the majority of the people. A recent IMF working paper sheds more light on the challenge of making Africa’s wealth work for most Africans. Ahead of the forthcoming annual Cambridge… Continue Reading

Natural gas is not (yet) a global commodity

A global commodity, in economic or investment terms, is a standardised, homogeneous good that sells for the same price everywhere, subject to transport costs and tax. Oil is the classic global commodity. A┬áchart from the IMF World Economic Outlook, just published in October 2014, shows that natural gas isn’t. But it probably will become more… Continue Reading

Commodities don’t help an investment portfolio

Investing in commodities (oil, gas, metals etc.) has gone from being a niche activity to a mainstream portfolio choice in the last fifteen years. This was driven by the long period of fast growth of commodity prices, which made a number of people very rich. The wider argument for commodities investment though has been that… Continue Reading