Commodities Remain a Valuable Portfolio Allocation
A Risk Adjusted and Diverse Portfolio
Our Investors typically look to diversify their portfolio with a commodities allocation which offers key benefits, including inflation protection and high return potential.
It is important to note that commodity returns may be enhanced through active management. Commodity markets offer a fertile opportunity for active trading and potential for investment generation. The return benefits of including commodities in a diversified portfolio remains consistently positive, which leads to better risk-adjusted returns over time.
Investing in commodities with us offers an overall portfolio benefit. This is because commodities offer an effective means of helping hedge a portfolio against inflation shocks in the market.
Investors can look to supplement the return potential of commodities with our highly skilled and experienced Investment Manages who have a proven history of delivering alpha in this asset class.
Invest In A Safe Haven
Gold has been shown to be a safer asset of value during the recent market turmoil than most other assets. We are hugely optimistic on the future potential of this commodity. Investing in gold has recorded record levels of investment and we have been reaching our funding targets ahead of time. investors are choosing to allocate more safe haven assets, such as gold, to their portfolios. Gold has traditionally performed well during times of economic volatility and the we provides clients with a particularly efficient way to invest in the precious metal. Investors are allocating commodities to their portfolio, especially gold due to their liquidity and low costs. Gold has been shown to be a safer store of value during the recent market turmoil than most other assets, and demand from our investors has continued to grow.
The advantages of commodities as an asset class are obvious and empirically evident. Over time commodities have demonstrated a low, and in some cases negative, historic correlation of returns with stocks and bonds as well as a positive correlation with the inflation rate. These characteristics imply that including commodities in a traditional stock and bond portfolio can reduce the overall portfolio risk and improve the risk-adjusted performance characteristics of the total portfolio.