Thursday, 8 March 2018

Why investors turn to copper as an inflation hedge



Every year, a far-reaching amount of copper is used by the universal recession to fabricate a wide assortment of property.

It shelter Portfolios 
Expansion can surely kill an exposed portfolio. Why? If hike is higher than the portfolio’s estimate of arrival, then that portfolio is actually producing a adverse real return. (Example: 2% growth – 3% inflation = -1% return) In other words, boom can be a “hazard” that chips away at arrival, chiefly for fixed income portfolios. The good news: holding copper or other commodities can protect against rising prices. 

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