Paul Bouchey, CFA, CIO of Parametric, quipped that investors should think about commodities now as “a 50% off sale.” While Bouchey doesn’t discuss why or when to invest in commodities, he does present an expedient guide on how to go about investing in commodities using 5 simple considerations:

• Commodities are not equities
• Indexes are subjective and concentrated
• Rebalancing is critical
• Don’t lever up the collateral
• Mind the roll