When choosing an investment, there are many ways to evaluate assets. Some investors use relative value, which compares potential investments. It includes measures such as liquidity, risk, and return.

James Chen, CMT is an expert trader, investment adviser, and global market strategist. Relative value is a method of determining an asset's worth that takes into account the value of similar assets.

Significant volatility across the commodities complex has created relative opportunities for hedge funds. A multiyear bear market in commodities has led investors to explore more active opportunities ...