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Inflation Risk Mitigation - Usefulness of Gold?

Ken Tumin
Ken Tumin   |     |   5,688 posts since 2009

Brad at BestCashCow has a useful discussion on how to mitigate inflation risk in your portfolio. He makes the claim that gold may not be as good of an inflation hedge as many believe:

certain asset classes such as gold or oil that are traditionally considered good inflation hedges may not be. Many commodities have much higher price volatility than inflation, which can reduce their hedging benefit, and their long-run expected returns may only be roughly equal to inflation