Topic: Share entry level commodities plays (Read 130 times)

You could get yourself some companions and invest in cattle. Have you seen global beef prices?

https://tradingeconomics.com/commodity/beef

Not quite the yearly increase as aluminum, but over a period of 5 years, quite the increase 

On a more serious note, commodities aren't the most feasible to trade with. The raw materials that manufacturers use to produce goods have increased over the last two years with COVID and they won't be alleviated until the supply chain fully recovers. High demand by manufactures so the price of commodities seem artificially high and should stabilize eventually. Might put a dent in the aluminum HODLers's profits.

Is there even any alternatives to it? Like let's say you have a can of coca cola, do we really think that they will move to another direction? Bottle their drinks in another material? I am not entirely sure if it is even being worked on seriously, I mean they must have some RD team looking at alternatives but I doubt that it would be really all that possible.

At the end of the day, aluminum would probably stay being the only option and will probably just be there for longest time and that means we could profit from it. Maybe it is not that expensive in the USA and maybe it won't grow like this for a long time, but in other nations it could be a rare resource for sure.

While aluminum doesn't rust it actually corrodes slowly by chemical actions but with good preservation. While plactic cans can easily get melted under high temperature except filled with contents to preserve it. Both are good wealth storage alternative but in the line of investment no matter how genuine the project seem i never fail to make my own research because  my research guide me on how to go about an investment

Yes Yes Yes. It will pay off only if we have production. Of course, remelting the metal will cost less than creating new aluminum. However, banks have a very low percentage of metal content and therefore very large warehouses will be required. To make a profit, you will need to constantly maintain a large amount of material. You will need to install boxes for collecting cans and a lot of other things. In small volumes, this work does not make sense.

He's talking about buying the scrapped metal from recycling centers and storing it, but that's simply not possible for the average citizen.

The recycling price for aluminum is about 1 euro, so you would need a sizable investment that will at least cover the back and forth cost with the transport from and back to the center at least something at around 2-3 tons, let's say you will have it pressed that's one cubic meter weighing 3 tons sitting in your apartment...Not really something someone would want there, right?
Also, there is this misconception that because aluminum is not rusting it acts like gold but aluminum is not resistant to corrosion, also cans are not made only of aluminum, there are different alloys used to harden the top and the bottom of the cans, so the price will always be lower for that than raw aluminum ingots.

Prices of lead have also gone up, maybe it's time to put some 10cm lead walls around?  

It pays when you have perseverance to really gather your waste cans every possible way. You can squeeze it down to the smallest size so it wont take so much space.  I wouldn't expect much return but at least you have something to look forward to. Its a waste already but you still can make money out of it so that's a win-win.

I'm not really sure if there is a scarcity of aluminum, there is plenty of it everywhere but supply chain is disrupted and in recession any thing that has value matters.

It's a good idea, but it's more suitable for small businesses than doing it yourself can be difficult and even hard to get the expected results.
To do this, we need to have a warehouse large enough to hold a large amount of used goods and take a long time to collect them.

The idea is somewhat strange, but most people here invest in skewer or iron used in industry, because at times of the year and with the rise in temperature, the demand decreases and with the advent of the winter season, the demand increases and thus they sell and so on, but it is the first time that I have heard of aluminum against inflation.

Plastic industries do not rise with oil because they are considered additional gains for drilling operations, as many countries set budgets based on oil prices and therefore all oil derivatives are considered net profits for them.

Some coffee plant seeds have restrictions on united states imports due to the pulp being deemed an exotic fruit fly risk. I think it takes 3-5 years for a coffee plant to go from a seed to a mature coffee bean producing tree. There is a lag time of years involved. Unless people have the connections to purchase coffee trees near to maturity at low prices.

I've thought about growing tobacco, rice, cotton, wheat. In the USA tobacco has restrictions where its ok to grow and harvest for personal use but special permits are needed for commercial production.

Almonds, macadamias and tropical fruits like lychee, rambutan, dragonfruit.

I've seen almonds in stores for around $10/pound. Macadamias $20/pound. Fresh lychee fruit I've seen for sale on amazon for around $20 to $40 a pound. Some of these items are not that difficult to produce in quantity. It only takes time for them to reach maturity.

Farming could be a good market to invest in, food prices should appreciate faster than inflation with announced shortages.

Of course it is an investment option that also promises long-term benefits, but we must have a warehouse large enough to accommodate these used goods in the long term. I don't think I should pick up those used cans myself but more likely to be a buyer or collector than a seller of the items, but so far I haven't thought about this investment.

In my country there are many people who have been in this business for many years. They can make 2-3 times more profit, but honestly sometimes this kind of business doesn't seem suitable for those in densely populated cities.

How about the coffee beans business, I am interested in this business because I think there are quite a few friends who have become coffee beans entrepreneurs for the local area and they get good profits from their business. Maybe it would be even better if these coffee beans could be exported to other countries.

It would make sense if we could recycle old aluminum cans. In this case, it could be profitable. I think it makes no sense to collect all this garbage to do something yourself. So we just make more garbage. There are special organizations that use waste. Let them do their thing. I don't like the idea of ​​collecting old cans.

I guess I should have put this at the top, rather than the bottom:


Personally, I saved every aluminum beverage can for the last 3 or so years. Use them for cosplay, heatsinks, metal embossing and engraving, windmill blades. Things that have absolutely nothing to do with commodities HODLing.

With 2022 aluminum prices doubling year over year, I see now they have other uses.  

Aluminum is a more promising business than plastic and it's good to have all heavy, medium, and light used items. because all used goods are profitable.
but in the long run, it really needs a strategic place and does not harm others because anything related to waste will definitely harm the surrounding community and this must be considered.
I have a friend who collects used goods from scavengers and he is successful but the storage area is far from where the locals live so as not to harm them, and as far as I know he only sells it a few times when the price of goods goes up a little because he doesn't want his used goods to pile up. so goods go in and out after making a profit and it's hard to keep them for long term because most of them spin money just to take profit.

I think that such an investment would make sense if someone had large and unused warehouses in which they would then collect cans and plastic bottles in huge quantities. The problem is how to get large quantities of such waste, because in developed countries cans and plastic bottles/glass are bought in a way that refunds the buyer part of the fee paid when buying products in such packaging.

Perhaps this way of investing is suitable for those who live in countries where such raw materials are thrown away, because most waste is usable and can be recycled.

A similar idea involving copper as an investment -> https://bitcointalksearch.org/topic/copper-a-5-year-investment-for-those-with-no-capital-5329730

You mean hoarding years worth of old stinky aluminum cans in hope that the refund fee at your bottle depot will double in the near future? Not worth the hassle.

You might as well just buy some companies that are big on aluminum products. Or you can buy the futures instead for aluminum.

However holding cans in your basement for years is not a good way since they take up lots of room and will take a long time to buy enough to the point where it’s a worthwhile investment.

When most think of commodities markets, they envision multi million dollar operations accepting delivery of large shipments of bushels of wheat or barrels of oil.

HODLing commodities are recommended for inflation protection. With commodities markets being somewhat impregnable to entry level investors.

If inflation becomes a greater concern, people will become more incentivized to find methods of storing wealth in commodities which could appreciate in value at a rate greater than inflation.

One potential entry level method of HODLing commodities could be to HODL aluminum beverage cans.



With the value of aluminum more than doubling over the last year, it may become more attractive to HODL.



The value of plastic has also risen to a lesser degree.



It is interesting that aluminum is appreciating at a greater pace than plastic, due to crude oil being a principal ingredient of plastic production.

Could HODLing aluminum cans and plastic bottles become an entry level commodities play in the future?

Aluminum, copper and other metals can be purchased from scrap metal markets and held as a commodities play for those seeking to store their wealth in commodities in an entry level setting.

(Aluminum has one advantage over other metals in that it doesn't rust or tarnish as easily.)

What are other good commodity investment strategies that are accessible to non accredited traders?