If you have recently considered investing in energy resources in the state of California, chances are you have heard about the variety of pending benefits you may enjoy. You have probably also learned a lot about the risks involved, as well as the types of energy resources you can choose to invest in. However, did you know that you can invest in resources such as oil and gas in more than one way? Deciding which option is the most beneficial for you depends on your needs, the time you have and the outcome you desire.
According to Money Crashers, you can take a commodities approach where your ROI stems from fluctuations in the price of oil and gas available to customers. You may also view the industry as a bunch of different entities who each provide consumers with a product or service. Last but not least, you may research other key players operating in industries related to energy consumption and begin your investment opportunities there.
Some of the more specific ways you may choose to invest in energy resources include the following:
- American depository receipts (ADRs)
- Futures contracts
- Limited partnerships
- Mutual funds
- Small or micro-cap stock
Because resources such as oil and gas are so widely used around the world, your decision to invest in them may provide you with many rewarding benefits if you leverage your opportunities the right way and choose the right form of investment.
The information in this article is intended for educational purposes only and should not be taken as legal advice.