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

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Alternative Investments: Commodities On The Medals Podium
Gold has moved atop the monthly alternative investments (“alts”) leader board, outperforming the S&P 500 Index by nearly than 200 basis points. Gold’s year-to-date performance has been even more impressive.
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EC Concentration Risk Reaching Historic Levels
Concentration, like leverage, is a two-edged sword. It magnifies returns when heavily weighted stocks are favored, but is a drag when investors shun those issues.
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EC The Real Inflation Story
The Fed’s thumb on the rate scale has set nominal yields and inflationary expectations on opposite trajectories, creating a bullish environment for commodities that don’t figure highly in the CPI.
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Gold Miners Too Bullish?
Miners’ current bullishness is a likely set-up for a pullback. Will it be on the scale of the 2016 sell-off?
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Get The Information On Your Active ETF
Look beyond a fund’s published alpha.
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EC Mid-Year Appraisal Of Alternative ETFs
Most are outperforming the broad market.
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Comments

Latest Comments
What’s Gold Really Worth?
5 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?
5 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?
5 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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