Soft commodities are likely to outperform other commodity asset classes over the next five years, according to Jonathan Boyden, head of sugar trading at Ambrian Capital.
Soft commodity prices rose 29% over the past five years; while base metals were up 454%, precious metals grew 168% and grains increased 116%.
However, soft futures – like sugar, coffee and cocoa – have soared by over 20% since the start of 2008, powered by investment funds and speculators which are seeking big returns in agricultural commodities....MORE