What is comodity Broking?
A commodity broker is a firm which executes orders to buy or sell commodity contracts on behalf of the clients .
Benefits of Engaging a Commodity Broker
- Many individuals also rely on commodity brokers for trading advice and recommendations.
- Brokers make it easier for individuals who are new to investing to begin trading commodities.
- With Our Import- Export experience we make trading easier for those new in the business.
- A commodity broker acts as a go-between for individual traders and the exchanges. He makes the process more orderly through technology, experience, and monitoring regulations.
- Commodity brokers also help bring in customers.
- A commodity broker helps in price discovery.Based on inputs regarding specific market information, buyers and sellers conduct trading at futures exchanges. This results into continuous price discovery mechanism.
- Import- Export competitiveness: The exporters can hedge their price risk and improve their competitiveness thus making trading easier and cheap.
- Portfolio Diversification: Commodity offers at another investment options which is largely negatively correlated with equity and currency and thus could offer great portfolio diversification.