Investing in physical commodities or commodity-linked futures carries substantial risk due to extreme price volatility driven by unpredictable macroeconomic factors, geopolitical tensions, supply chain disruptions, and shifting weather patterns. Unlike income-generating assets such as stocks or bonds, commodities do not pay dividends or interest, meaning investors rely entirely on capital appreciation in volatile global markets. Additionally, factors like overproduction, sudden shifts in industrial demand, and high storage costs can lead to significant financial losses for commodity market participants.