Can all risks be predicted? No, of course not. However, monitoring those that you have identified is critical to investing success. That being said, there are a few that Motley Fool energy and materials analyst Taylor Muckerman covers in the video below. They include margin contraction, supply outstripping demand due to growth projects in place at both PotashCorp (NYSE: POT ) and several of its competitors, and regional disruptions in a few key geographies. While this isn't an exhaustive list, it is at least a starting point for your due diligence process.
Opportunities, risks, and more are covered with equal attention in this report
With less and less arable land available around the world, increasing yields from existing plots will become vitally important to keep up with expected population growth. Cheap and effective fertilizers could be the key to achieving this goal. As the global leader in potash production, PotashCorp has several barriers to entry established that make it nearly impossible for competition to break through. Click here now to access The Motley Fool's new premium research report on PotashCorp, in which we cover precisely what these barriers to entry are and detail several other key reasons why this company presents such a compelling investment opportunity today.