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Natural Gas Profits From a Green Future
By
Kenny Port
Article Word Count: 420 [View Summary] Comments (0) |
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The United States is at a critical moment with our energy sources. We import oil from countries that are not friendly to us. Possible energy supply disruptions from political turmoil put us in a bad position. With the current administration pushing us away form foreign oil and wanting to invest in green energy, a wise investor should be looking at Natural Gas ETFs.
Natty gas is plentiful in The United States. This is domestically produced and creates jobs here in the United States. President Obama wants to stop using foreign oil in 10 years. Nat gas is now being used as an alternative fuel for transportation.
Natural gas currently makes up about 22% of electrical generation in the US. Coal currently is used in about 50% of electrical generation. This country is looking for alternative fuels to generate electricity. Solar and wind are being looked at, but gas is easily produced here in the United States.With this administration wanting to move away from coal, this should increase demand for natural gas.
What does this mean for an investor? When you have the government wanting to increase natural gas usage, you may want to get on that investment train. Plus you have billionaire oil man T. Boone Pickens pushing for natty gas use in his Pickens Plan. When a billionaire is investing in something, I would like to join him.
Now how do you get involved in trading gas? The easiest way to invest in this would be using a Gas ETFs.
What is a Natural Gas ETF? An ETF is known as an Exchange Traded Fund. These are funds that are traded like stocks and are traded on stock exchanges. You can enter orders such as market orders, limit orders and even stop loss orders. Whats great about using this ETF is if you already have a stock account you can trade it immediately.
There are several ETFs available depending on your energy investment goals. There are currently 2 types of Gas ETFs that replicate the movement of gas futures trading on NYMEX. Don't want to trade an ETF based on futures? There are Gas ETFs that will invest in a basket of stocks in companies that produce and are in the business of natural gas exploration. There are also ETFs that invest in the supplying and transportation of natural gas. Energy usage will be changing over the next few years. Using a Natural Gas ETF may provide you away to catch this wave and ride it to profits.
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There are profits to be made trading energy. But in order to do so, you must pick the investment vehicle that offers the most potential. Natural Gas ETFs offer several ways to invest in this exciting sector of the market. Please visit the Gas ETF Guide website for more information and learn how to trade this investment. Article Source: http://EzineArticles.com/?expert=Kenny_Port |
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Article Submitted On: October 31, 2009
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MLA Style Citation:
Port, Kenny "Natural Gas Profits From a Green Future." Natural Gas Profits From a Green Future. 31 Oct. 2009 EzineArticles.com. 25 Nov. 2009 <http://ezinearticles.com/?Natural-Gas-Profits-From-a-Green-Future&id=3187023>.
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APA Style Citation:
Port, K. (2009, October 31). Natural Gas Profits From a Green Future. Retrieved November 25, 2009, from http://ezinearticles.com/?Natural-Gas-Profits-From-a-Green-Future&id=3187023
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Chicago Style Citation:
Port, Kenny "Natural Gas Profits From a Green Future." Natural Gas Profits From a Green Future EzineArticles.com. http://ezinearticles.com/?Natural-Gas-Profits-From-a-Green-Future&id=3187023