How to invest in Natural Gas for longer term (months / years)? (NG1! or another way?)
How do I invest long term (months, years) into natural gas?
From my understanding, I can go long on NG1! futures with Schwab, but that's more for short term trading, (days / weeks).
For holding the position for months (or even years), would I use the same method, or is there a better way?
I think you will need to provide more information on why you want to "invest" in natural gas to get a good response as like other commodities with high storage prices it is not possible to directly bet on changes in the spot price of natural gas.
I'm not sure about Schwab in particular but natural gas futures have liquidity for several months and even to a limited extent for several years so if you want exposure to natural gas prices at a particular future date this is a good option. I would classify buying 2025 natural gas futures as speculation not investment though.
There are also natural gas ETFs that invest in either futures or similar exposure and roll the contracts to give you exposure to natural gas prices. Rolling natural gas futures ends up being pretty expensive so both UNL and UNG have poor long term performance so I wouldn't recommend this for most investors either.
If you are just generally bullish on natural gas as a commodity investing in energy companies that produces natural gas might be a better option as you would most likely benefit from future price increases in natural gas while having a more solid investment that does not lose money on monthly futures rolls. The downside of this approach is you are exposed to company specific risks and few energy companies will be solely focused on natural gas.
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