Natural Resources Indicator – back in business

The pandemic has had major impacts on demand and supply dynamics across commodity sectors. As the world slowly gets back to work, we assess the state of play across commodities from energy to metals to agriculture, and consider the likely next market moves.

Jul 28, 2020

18 minutes

The oil majors face enormous challenges as they attempt to navigate the structural changes taking place in the energy industry and more broadly in the global economy. The vitally important move to a low-carbon economy has profound implications for their existing business models and financial frameworks. They now face these challenges against the backdrop of a depressed oil price.

In the latest Natural Resources Indicator, we look at the investment implications of the challenges facing the energy sector – and explain why investors who have traditionally approached the oil majors as homogeneous oil-price proxies could increasingly be tripped up.

We also assess the risks, opportunities and investment outlook across commodity markets and environmental sectors. We include deeper dives on the following:

  • Oil
  • Environmental sectors and renewables
  • Aluminium
  • Iron ore
  • Gold
  • Platinum
  • Corn
  • Lumber


Specific risks
All investments carry the risk of capital loss. The value of investments, and any income generated from them, can fall as well as rise and will be affected by changes in interest rates, currency fluctuations, general market conditions and other political, social and economic developments, as well as by specific matters relating to the assets in which the investment strategy invests. If any currency differs from the investor’s home currency, returns may increase or decrease as a result of currency fluctuations. Past performance is not a reliable indicator of future results.

Authored by

Natural Resources team

Important Information

This communication is provided for general information only should not be construed as advice.

All the information in is believed to be reliable but may be inaccurate or incomplete. The views are those of the contributor at the time of publication and do not necessary reflect those of Ninety One.

Any opinions stated are honestly held but are not guaranteed and should not be relied upon.

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