Commodities as inflation protection: Why your portfolio needs real assets
Commodities are the most direct hedge against inflation. 0.82 correlation to money supply. Learn how to build your portfolio to be inflation-proof.
What you'll take away from this article
- How to apply the core concepts from this article to your financing strategy
- Which concrete steps you can take next — practical and actionable
- Why this knowledge gives you a measurable advantage in raising capital
Commodities as protection against inflation: The scientific basis
Huber analyzes the correlation between money supply and raw material prices (Figure 72, 73). The result: Commodities are the most direct inflation hedge.
0.82
Correlation of money supply to commodity prices (1970-2020)
Commodities vs stocks in inflationary phases
Commodities beat stocks in inflation
In both inflationary phases (stagflation 1970-82 and commodity boom 1990-2008), commodities massively beat stocks.
📄
Akademische Quelle: Master Thesis
Entwicklung einer optimalen Asset Allocation in Zeiten expansiver Geld- und Fiskalpolitik
Daniel Huber, M.A. — Hochschule Mainz, 2020 | Betreut von Prof. Dr. Arno Peppmeier
13.174 Wörter · 92 Abbildungen · 39 Tabellen · Markowitz-Effizienzlinienanalyse
Vollständige Thesis herunterladen (PDF, 6 MB) →
Daniel Huber, M.A. — Hochschule Mainz, 2020 | Betreut von Prof. Dr. Arno Peppmeier
13.174 Wörter · 92 Abbildungen · 39 Tabellen · Markowitz-Effizienzlinienanalyse
Your advantage after this article
What you now know — and how to use it
- You know the core concepts and can apply them directly to your situation
- You know which mistakes to avoid — saving you time and capital
- You understand how this building block fits into your overall strategy
Ready for the Next Step?
In 30 min, Daniel Huber shows which capital strategy fits your situation.
Found this useful? Add Canvena as a preferred source on Google - our analyses will then be highlighted in your Search and AI results.
Add Canvena as a preferred source