Rising Demand Makes Natural Resources a Good Investment

Investment in natural resources means financing companies dealing in materials that are either mined or collected in raw form. Often overlapping with oil and gas, precious metals, minerals, and metals investing, natural resources investments are attractive to many investors because of the industry’s strong outlook.

Rising incomes in some parts of the world, raising the demand for precious metals and building materials, are supporting growth in the natural resources market. In addition, population growth and more urbanization are creating a sustained appetite for infrastructure projects in developing countries. These projects increase demand for gravel, steel, lumber, and other natural resource materials for public works. Countries whose governments buy up natural resources to store wealth and ensure access in the future also contribute to the potential for high returns on natural resource investments.

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