In their September 2011 paper entitled «A Comparative Analysis of the Investment Characteristics of
Alternative Gold Assets», Tim Pullen, Karen Benson and Robert Faff examine the diversification, hedging and safe haven properties of gold bullion, ten gold stocks, 11 gold mutual funds and two gold exchange traded funds (ETFs).
Using daily levels of
alternative gold assets and the S&P 500 Total Return Index as a reference asset during July 1987 through June 2010 (for bullion and gold mutual funds) and February 2005 through June 2010 (for all gold alternatives), they find that: Keep Reading
Not exact matches
We have benefited from this year's rally in stocks and bonds (our Multi
Asset Risk Strategy ETF Model Portfolio has a Sharpe ratio of over 3 this year — and that's with no leverage), but we are managing our risk by incorporating asset classes such as gold through the iShares Gold Trust (IAU); liquid alternatives through the IQ Hedge Multi-Strategy Tracker ETF (QAI), long - dated Treasuries through the iShares 20 + Year Treasury Bond ETF (TLT)-- each of which diversify our portfolio risk and carry well within an ETF portfolio const
Asset Risk Strategy ETF Model Portfolio has a Sharpe ratio of over 3 this year — and that's with no leverage), but we are managing our risk by incorporating
asset classes such as gold through the iShares Gold Trust (IAU); liquid alternatives through the IQ Hedge Multi-Strategy Tracker ETF (QAI), long - dated Treasuries through the iShares 20 + Year Treasury Bond ETF (TLT)-- each of which diversify our portfolio risk and carry well within an ETF portfolio const
asset classes such as
gold through the iShares Gold Trust (IAU); liquid alternatives through the IQ Hedge Multi-Strategy Tracker ETF (QAI), long - dated Treasuries through the iShares 20 + Year Treasury Bond ETF (TLT)-- each of which diversify our portfolio risk and carry well within an ETF portfolio constr
gold through the iShares
Gold Trust (IAU); liquid alternatives through the IQ Hedge Multi-Strategy Tracker ETF (QAI), long - dated Treasuries through the iShares 20 + Year Treasury Bond ETF (TLT)-- each of which diversify our portfolio risk and carry well within an ETF portfolio constr
Gold Trust (IAU); liquid
alternatives through the IQ Hedge Multi-Strategy Tracker ETF (QAI), long - dated Treasuries through the iShares 20 + Year Treasury Bond ETF (TLT)-- each of which diversify our portfolio risk and carry well within an ETF portfolio construct.
Gold prices may be underperforming equities, but the precious metal will always remain an
alternative asset class.
Your only
alternative is to back in the safety of
gold and silver related
assets.
Asset classes include equities (stocks), fixed income bonds, commodities (
gold, oil, etc.), real estate and
alternative investments (venture capital, etc.).
Some pundits say tiny or negative yields could trigger major flows into stocks and
alternative assets like housing or
gold.
With strong speculative fund buying, a weakening U.S. dollar and inflation fears, investing in
gold is a popular trend as the precious metal becomes an
alternative asset class.
Because, hypothetically speaking, if
gold were to be valued around production ($ 1250ish an oz) and there was considerable
asset inflation (QE) then it could be viewed as very much a good
alternative to bonds, and common stock.
1) For example, holding
gold has become a popular
alternative asset class.
A few of the
alternative asset classes and associated investment products that are pitched to individual investors include: various commodities,
gold, foreign exchange, hedge funds in 57 varieties, infrastructure, managed futures, private equity, limited partnerships, and on and on.
All in all, considering the diamond / gemstone price increases,
gold up 170 % in the past 5 years, and a possible (very) inflationary (and / or
alternative asset friendly) environment to come, the pecking order and price outlook for tanzanite appears neutral (at worst) to decidedly bullish.
When investors are uncertain about fiat currencies, they turn to
alternative assets, like
gold, silver and in recent history Bitcoin.
There are people in the cryptocurrency industry have been trying to position cryptocurrencies as
alternatives to
gold or digital
gold and I think increasingly people are realizing that these digital
assets have much higher risk levels than traditional
assets such as
gold and silver.
Furthermore, the rise in SegWit adoption is giving a clear signal that the bitcoin community wants to see bitcoin succeed, not only as a digital -
gold like investment
asset but as the world's leading
alternative currency.
As long as you follow a few IRS rules regarding self directed IRAs, you are free to invest your self directed IRA, truly diversify and parlay your retirement savings not only in traditional investments like stocks, bonds, and mutual funds but also into
alternative tangible
assets such as physical
gold, oil and gas, and real estate.