Re: trading/investing in commodities - why do/have people prefer equit
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Commodities don't earn dividends, i.e., when you're holding it, it's just sitting there not doing anything.
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Not exactly true. You only need to put up a few percent margin to purchase a commodity futures contract. The rest can be invested in interest-bearing instruments. (T-bills being the instrument of choice for most futures traders.) The interest income can be thought of as a type of dividend.
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