Journalist
Contributor's Links: Wealthmanagement.com

Brad Zigler's stints as a contributing editor for the Corporate Communications Broadcast Network, the Journal of Indexes, and CRB Trader set the stage for his role as managing editor of Hard Assets Investor and later as alternative investments editor of Registered Rep. magazine, the most ... more

ALL CONTRIBUTIONS

Emerging Markets Emerging Further
Bottoming action especially promising for two ETFs.
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Another Worrisome Chart
There’s peril ahead for both stocks and bonds.
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Utilities May Not Be A Safe Harbor
Utilities are supposed to be defensive stocks. Risk-averse investors especially rely upon utility stocks when the economy sinks into recession.
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What, Me Worry?
The precipitous plunge in stock prices over the past quarter has sent shivers down the spines of all but the steeliest of investors.
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The Best Alternative Investment
It’s more than returns and alpha. Based on the data, these ETPs should do the best job of easing investor pain in a choppy market.
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Worried About The Yield Curve Inversion?
There’s a been a lot of jawboning in the past few days about a small inversion the middle reaches of the Treasury yield curve.
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Comments

Latest Comments
What’s Gold Really Worth?
4 years ago

John -

The "relationship" posited in the article is just that, a "relationship." It's a ratio, not a correlation. A correlation is a distinct statistical construct.

You may very well be right about gold as a hedge against inflation "in the long run." The question is: "What's a long run?" Years? Decades? Millennia?

The fact that an ounce of gold could buy a man's suiting now as in ancient Rome doesn't help someone planning for a nearby retirement.

In this article: GLD
What’s Gold Really Worth?
4 years ago

John -

Yes there is an indirect relationship between bullion prices and the US dollar. That shouldn't be surprising since gold is benchmarked in dollars.

I wouldn't characterize the gold market as being "more stable." There's in fact, a lot more volatility in metals than in currency.

As for the correlation of bullion and CPI, studies have shown that there isn't a statistically significant relationship between the two.

In this article: GLD
What’s Gold Really Worth?
4 years ago

Kate -

The prices tracked in the article, to make them directly comparable to once-a-month CPI, are monthly averages.

GLD, in fact, is highly (>99%) correlated to bullion on a day-to-day basis. The only tracking error is due to the metal sales financing the trust's fees (0.40% per year). That said, the equally well-correlated iShares IAU gold ETF, with a lower (0.25%) expense ratio, should fare even better.

In this article: GLD
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