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

ALL CONTRIBUTIONS

The Euro’s Been Golden. Sort Of.
Holding gold in euros has certainly been a smarter way to capture gold’s traditional diversification benefit.
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Mixed Performance For Top Alpha-Seeking ETFs
The popularity and, perhaps, utility of beta is being eclipsed. That’s led ETF issuers recently to go active, trying to beat the broader market. Does it work, and at what cost?
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Like Stocks? Get Ready …
Back in December, we pointed to the exchange-traded fund (ETF) market’s optimistic signals about stocks. Does this mean the bull market reverses itself? Nope. Not yet, anyway. But it is a warning of some volatility ahead.
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Good News And Bad News For A Refiner
Historically, the spread between crude oil and distillate prices tends to widen between October and February. Simply put, crude oil cheapens in relation to gasoline and fuel oils, which is a boon to refiners.
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High Yields, Multiple Sources, One Fund
After years of near-zero interests rates, it seems as though there’s finally some relief ahead for savers. This year, yields on three-month Treasury bills have more than doubled, rising from 22 basis points to 51 basis points in early December.
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Fear Factor? Not For Stocks
The most widely followed fear metric for investors is the CBOE S&P 500 Volatility Index which reflects the near-term volatility expectations embedded in option prices. It’s fine as a sentiment barometer, but isn’t investable itself.
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Comments

Latest Comments
What’s Gold Really Worth?
2 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?
2 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?
2 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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