I GOT GAS AND SO SHOULD YOU
I'm not going to stop pounding the table (I hate that term, but it's all I could think of at this moment) on natural gas. It belongs in every investors portfolio. Don't believe me? Ask the CEO of Exxon Mobil, Chevron or Royal Dutch Shell. As smart as you think you are, these guys know a whole lot more about the future of energy than you do. You know what they are doing? Throwing the kitchen sink, with all the dishes, pots and pans at natural gas. Here's a recent news story about it.
They have seen the future potential of natural gas and with good reason. I wrote an article a couple weeks ago about being aware of who you are holding hands with in the stock market. If you haven't read it, please take some time and digest it. When you run with the sheep, odds are you're going to get sheared. But if you run with the big dogs, odds are you're going to be eating steak.
There are multiple ways you can invest in natural gas. If you want a pure play, try the UNG, which attempts to track the natural gas prices in ETF form. It has the potential for some enormous upside, but you may risk missing out as natural gas stocks are already moving.
You can also invest in FCG. It's another ETF. This ETF contains a variety of natural gas related companies.
If you want to be aggressive, as I always tend to be, invest in micro-cap natural gas companies like PSTR. The smaller you get in the market cap, the more upside you will have when the natural gas trade gains in popularity. If you prefer to be conservative, take positions in the mega-cap companies like XOM or CVX.
There are a million ways to play it. All I'm saying is that a piece of the natural gas play, in whatever variety you choose, belongs in your portfolio for the next few years and beyond.
