Commodity prices tend to go through extended periods of boom and bust, known as supercycles.
A supercycle is characterized by a prolonged period of rising commodity prices, supported by population growth and infrastructure expansion.
As you can see from the below chart, we have decades between each peak.
How to differentiate a trader from a broker?
The salary and bonus is the most critical part of a trade life.
If you want to become a commodity trader, you are money-driven. Let’s be honest, I’ve never heard any of my fellow trader friends say: “Oh, I would do this job even if I wasn’t paid.”
Salary and bonus are the ultimate performance scale!
To conduct this analysis, it took us six months, and we’ve gathered data about a bit less than 80 commodity traders. So I won’t say it’s statistical evidence. However, it gives a good look.
We have a highly experimental post today! A conversation with one of our teacher Gabriel, one of the most passioned grain trader you could find! This is our very first interview! We debated for a long time if we could release this interview, the quality is FAR FROM ideal, it’s hard to hear what I say… sorry about that!
How do trading companies make money?
In short, they buy, stock, transport, process and sell commodities from a place of surplus to a place of deficits. The big trading players such as Vitol, Cargill, Trafigura, Olam, Mercuria, Louis Dreyfus, Glencore, etc… always pivot their business model around those activities.
*The brochure will be sent to your email after clicking on ‘Download’