Jasmine Birtles
Your money-making expert. Financial journalist, TV and radio personality.
Copper may not be as glamorous as gold or as trendy as tech stocks, but in 2025, it’s looking like one of the most exciting investment opportunities around. Whether you’re a seasoned investor or just starting out, adding a bit of copper to your portfolio could offer some much-needed diversification, and possibly a decent return!
Here’s everything you need to know about investing in copper this year: how it works, why investors are watching it, and how you can get started (without needing to store any heavy metal in your shed!).
Let’s start with the obvious question: why copper?
Copper is a critical industrial metal with a huge role to play in the modern world. It’s highly conductive, durable, and incredibly versatile, which is why you’ll find it everywhere: in electrical wiring, household plumbing, construction, renewable energy systems, power grids, and perhaps most significantly, electric vehicles (EVs).
Also read: How to invest in Electric Vehciles
In 2025, as the global economy charges full speed ahead into electrification and low-carbon tech, copper has become more than just a basic metal. It’s the backbone of the green energy revolution, and savvy investors are starting to take notice.
Let’s break down some of the key reasons why copper might be a good investment to consider this year.
From wind turbines to solar farms to electric cars, the world’s efforts to go green are powered, quite literally, by copper.
Each EV contains two to four times more copper than a petrol or diesel vehicle. Wind farms and solar panels require tonnes of the stuff to operate efficiently. Even upgrading power grids to support renewable energy means laying down massive amounts of copper cabling.
If the world is serious about going net zero, it’s going to need a lot more copper. And that rising demand could mean higher prices and stronger returns for copper investors.
While demand is booming, copper supply is another story. Many of the world’s biggest copper mines are decades old and becoming less productive. New projects are often hampered by environmental concerns, lengthy approval processes, or political risk — especially in major copper-producing countries like Chile, Peru, and the Democratic Republic of Congo.
Even when a new mine is discovered, it can take 10–15 years to become operational. That means we’re facing a growing supply-demand imbalance: more need for copper, but not enough coming out of the ground.
This squeeze on supply is already putting upward pressure on prices, and could continue to do so in 2025 and beyond.
Another reason investors are turning to copper is that it can act as a hedge against inflation.
Like gold and other commodities, copper tends to hold its value well during inflationary periods. That’s because it’s a physical asset with real-world utility, and when money loses purchasing power, hard assets often become more attractive.
While inflation has cooled a bit since its recent peaks, many investors are still wary of lingering price pressures and looking for ways to protect their portfolios. Copper, with its industrial importance and growing demand, ticks that box nicely.
So, how can you actually invest in copper without having to store coils of the stuff in your garage? Good news: there are a few straightforward ways for UK investors to get involved.
Technically, you can buy physical copper, in the form of bars or rounds, but this is more niche, expensive to store, and often not practical for most investors.
Pros:
Direct ownership
No third-party risk
Cons:
Storage, security, and purity issues
Not easy to resell
Not tax-efficient
In general, this is best left to collectors or hardcore commodity enthusiasts. It’s important to check that the copper you buy is high-quality.
This is one of the easiest and most accessible ways to invest in copper. Copper ETFs track the price of copper or a basket of copper mining stocks, allowing you to gain exposure without needing to pick individual companies.
Some examples include:
WisdomTree Copper ETC (COPA): Tracks the spot price of copper
Global X Copper Miners ETF (COPX): Invests in global copper mining companies
iShares MSCI Global Metals & Mining Producers ETF (PICK): Includes diversified miners with significant copper operations
You can buy these through popular UK investing platforms like:
Pros:
Easy to access
Liquid and transparent
No need to manage physical storage
Cons:
Management fees (small but worth checking)
Some ETFs track futures, which can be volatile
If you want to dig a little deeper (pun fully intended), you can invest in copper by buying shares of mining companies that produce the metal.
Some of the top copper producers include:
Rio Tinto (LSE: RIO): A global mining giant with significant copper operations
Antofagasta (LSE: ANTO): A Chilean-focused copper miner listed in the UK
Freeport-McMoRan (NYSE: FCX): One of the world’s largest pure-play copper producers
Southern Copper (NYSE: SCCO): Operates mainly in Peru and Mexico
Pros:
Potential for capital growth and dividends
Easy to buy and sell through a standard brokerage account
Cons:
Company-specific risks (strikes, regulation, management issues)
Volatile stock prices
Copper might be having a moment, but it’s not risk-free. Here are a few important things to bear in mind:
Copper might not be the shiniest metal in your portfolio, but it’s becoming one of the most essential, especially as the world transitions to a greener, more electrified future.
Whether you go for an ETF, a few mining shares, or a diversified commodity fund, there are plenty of ways to add a bit of copper to your investments in 2025. Just make sure it fits with your broader financial goals, and as always, do your own research before you invest.
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Disclaimer: MoneyMagpie is not a licensed financial advisor and therefore information found here including opinions, commentary, suggestions or strategies, are for informational, entertainment or educational purposes only. This should not be considered as financial advice. Anyone thinking of investing should conduct their own due diligence. Companies listed above are not necessarily endorsed by Money Magpie. When investing your capital is at risk.
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