Book Review: Hot Commodities by Jim Rogers
I just finished reading Hot Commodities by Jim Rogers. Its a very easy to read book and the author does a great job explaining why everyone should invest in commodities. A lot people mistakenly believe that commodities are very risky and that investors usually lose their shirts.
Jim Rogers shows this isn’t the case and that commodities and stocks just follow different cycles. Infact in many cases, commodities have similar returns to the S&P500 but with lower risk. He explains what causes commodity prices to rise & fall, how a few different commodities have behaved in the past and how they are likely to behave in the future. If you don’t have any commodities or commodity related stock in your portfolio I strongly recommend you pick up the book.
This book is not a primer on how to go about investing in commodities. Thats the topic of another book. I also recommend The Oil Factor as a related book which also has good investment ideas. [Incidentally, Jack Schwager's Complete Guide to Mastering the Markets also comes highly recommended but at $799.00 its a bit pricey!]
If you get both books, don’t forget to take advantage of the Get $20 off $50 when you use Google Checkout! promotion.
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