When we think of investing in India, people often talk about stocks, real estate and sometimes gold. But if we were to look at the alluring options in the metal trading markets, you would be amazed. In the Indian context, MCX (Multi Commodity Exchange) lists many precious and industrial metals for market trading and investors. And looking at it from an industrial aspect, there are a handful of giant companies in the metal industry that you should be looking out for. The metal industry is known to be less volatile and usually has big stable organisations associated with it. Thus making these stocks useful for diversification as well as for less riskier investments.
If you are an individual investor looking to break into the metals market, here are some stocks for your long-term investment strategies
- Tata Steel
Positioned as one of the biggest and most renowned steel manufacturers globally, Tata Steel tops our list. With the growing demand for industrial steel for construction and manufacturing industries, the organisational finances show good prospects. Considering the reputation of the company and the market trends over the years, Tata Steel stocks are a great asset. Also, historically, it has been a key asset in various mutual funds as well as investment portfolios. So, if you are looking for a commodity to invest in for the long term, do look at the performance of Tata Steel.
- `National Aluminum Company
Similar to steel, Aluminium is an industrial metal that is often in high demand globally. Not only in the domestic markets but also internationally, the demand for bauxite ore and processed aluminium is rising. This indicates an increase in the performance of the company and better financial returns for investors. Keep a close eye on Nalco share price, as it might be the right time to take a position in metal stocks.
- Coal India Ltd
Being one of the largest producers of coal in the world, Coal India is a key energy commodity company. With the constant increase in the demand for energy across the globe for development, coal is still a key asset. Though, globally the energy markets are shifting towards clean energy, Coal still forms a big share of the sources. This means that investing in Coal India stocks is a good long-term investment for reliable and great financial gains.
Contrary to conventional metals, Vedanta as a metal company processes industrial metals like zinc, lead, silver etc. Also, the company deals in oil and gas on a global platform. With its diversification at the core level, the company gives you access to different markets. So, overall investing in the company gives you diversification opportunities, without having to plan for a diversification strategy. Track the Vedanta Share price as the right investment opportunity might be around the corner.
The metals industry, though not as volatile as the other stocks, is affected by various macroeconomic factors. Currency rates, changes in government policies and socio-economics can have a big impact on the performance of these companies. So, make sure you have a reliable trading strategy and fundamental analysis in place for your long-term investments.