Elvina Lee, Executive Director, Client Portfolio Manager, J.P. Morgan Asset Management, shares the advantage resource equities hold over physical resources

- The key difference between resources and resource equities is one of exposure
- Investors exposed to physical resources are exposed to volatility in physical resource prices, which are unpredictable
- Investors exposed to resource equities are exposed to volatility in the corporate performance of the equities, which to some extent are dependent on the business activities and management ability of the company
- Risks investors should be aware of are company-specific, and resource prices exert some influence on the performance of the equities
- Gold prices have sped ahead of gold equities, and some opportunities in the gold equities sector are emerging