Commodity stocks in the food, timber and infrastructure sectors look attractive for 2013, Mike Underhill, founder and chief investment officer of Capital Innovations, told CNBC at the TDAmeritrade Institutional conference on Thursday.
"Commodities have always been an interesting asset class. But playing commodity stocks in a portfolio that's diversified prudently is a way to gain capital appreciation with hard asset ownership as an inflation hedge," Underhill said.
He likes stocks with exposure to food, fuel and forests. All three resources will be in demand as the global population only continues to grow.
"Right now population is trending towards 9 billion people by 2050, just to feed those people we need to increase our protein consumption by 75 percent," Underhill said.
Among his picks are Terra Nitrogen, a fertilizer company, timber company Louisiana-Pacific and energy infrastructure company Kinder Morgan.
