5 Canadian Oil and Gas Equities Yielding Over 4%
Many believe commodities are presently a good US currency hedge and general investment, even though most have recently undergone considerable price increases. The reasons some believe commodities will increase in cash-value vary, including inflation pressure, supply shortages and growing global demand for most things. One popular commodity choice continues to be petroleum, primarily in oil form, but also natural gas.
Beyond commodities, individuals fearing inflationary devaluation to the U.S. dollar have also considered positions in currencies that are more strongly tied to natural resource prices. Examples of such currencies include Australian, Swiss and Canadian currencies, among others. Natural resource investments existing and valued in nations where the currency is also backed by natural resources could present a way for a trust to protect itself from currency re-valuation, while also benefiting from potentially increasing resource costs. Of course, that also means two things can go wrong.
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