For long the investment classes for Indian investors had been limited to the traditional gold, real estate, bonds, FDs and equities. While investors have indirectly participated in commodities through the equity market mechanism, they still do not directly participate in commodities as an asset class. The commodity exchange offers an opportunity to small and medium sized investors to actively participate in a new asset class. In the process, they are also able to diversify their concentration risk of the existing asset classes. There is also a wide choice for investors and traders. They can participate in agricultural products or even in precious metals like gold and silver.