iShares S&P GSSI Natural Res. Idx. (ETF) (AMEX:IGE)

I have a good feeling about this fund.

IGE holdings are winners especially when the NAT GAS bill is passed. These energy companies are up/down giants with low/no debt and loads of cash to get through market corrections .

I am long energy,

When this recession recedes, inflation will increase. Commodities will be the hedge of choice against the shrinking (and possibly impotent) dollar and inflation overall.

I think that commodities have bottomed but the stock market may not have.

INFLATION and:

http://articles.moneycentral.msn.com/Investing/MutualFunds/why-gas-prices-will-soar-again.aspx?page=2

Unless you think that oil will go down to $10 a barrel, this is a good price.

The demand for natural resources will never end.

Look for IGE to run up this fall and even more around election time as speculators speculate on an Obama win. Unfortunate for the rest of the market. I'm targeting $165 in 4-5 months.

Won't just outperform, this one will crush the S&P

complete guess

take it all the way

thirst

Natural resources are finite (arguably diminishing) and populations in growing countries continue to grow, so prices will increase.

I'll be burning enough gas on my commute to keep the gains in energy and natural resources above 30% until at least 2012. You're welcome.

Valero and just about every other Energy stock has nose-dived of late. I think it's time to accumulate especially Oil stocks because in the long run. You can go without lots of luxury stuff but you'll always need to eat and you'd need energy for your heater, aircon, to drive from place to place.

nat res to ride the china boom

Natural resources will always be needed fro this economy.

When a topic of natural resource is brought into the centre stage, it tends to canter around energy resources. Considering the present day energy hungry economies this is only natural and thus does not raises any eyebrows when a natural resource ETF invests mostly in oil and gas. The ETF discussed here although differs from the usual stock.

iShares Goldman Sachs Natural Resources Index (IGE) fund which mimics the Goldman Sachs Natural Resources Sector Index invests in areas like metals, mining, basic materials and paper and forest products apart form energy. This diversification sets it apart from its peers and thus is ill affected by the global rally in oil and gas prices. In the expense ratio front, the competition is ironed out as almost all players charge a rate hovering around the 0.48% charged by the fund.

The IGE ETF returned an impressive 16.30 percent last year on account of the commodity boom that occurred worldwide. This boom was largely fueled by the emerging economies of Asia; China and India in particular. Chinese economy has been growing on an average of 10% for the last few years and the commodity growth has been around 80%. This growth cannot go on forever with slowing signs already visible. Chinese government is taking steps to control the growth of an economy that is widely believed to be over heating. India is also facing the same situation with inflation hitting a two-year high. This is directly going to affect the commodity prices.

In the regulatory front, a shift is happening in Washington with republicans making way for democrats who are in favor of a green policy. With the awareness of global warming sinking in, more and more investors are favoring companies who adopt an eco-friendly policy. Here the fund falters a little bit, as most of the companies in its portfolio are yet to catch up.

With these two factors heavily loaded against the fund, IGE is heading towards a gloomy future.