7c-ranch

Commodities Outperform During Equity Market Downturns

This analysis misses the point I have made for over one year. If a vast percentage of investors are seeking non-correlated returns by investing in similar asset classes won't those assets perform the same as traditional asset classes. Put simply, if everyone is seeking alpha it is no longer alpha.These strategies have only been employed by retail investors since 2002; thus making 5 year comparisons invald. Anecdotally, at a fundraiser last night, no one asked me about the stock market, they wanted to know why gold was trading so poorly.