Video: options to protect the investment portfolio against inflation

(ABM FN-Dow Jones) Protection against high inflation can be found within both traditional and alternative asset classes. This is what investment strategist Vincent Juvyns of JPMorgan Asset Management told ABM Financial News on Wednesday.

Since the negative correlation between stocks and bonds is not guaranteed due to high inflation and it cannot be ruled out that we will have to live with a slightly higher level of inflation in the near future than in the past ten years, we will have to look to other sources of diversification. search, said Juvyns.

For example, in traditional markets, the investment strategist thinks of the foreign exchange market and factor investing, where an investor focuses on one or a few sources of return, such as value, momentum, volatility or dividend.

Alternative strategies are long/short investing and thematic investing, such as in climate change. “Several alternative asset classes posted positive returns last year,” said Juvyns. “Think of infrastructure, transportation, postal management…sectors that showed positive returns last year and offer protection against inflation.”

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Bron: ABM Financial News

ABM Financial News is a supplier of stock market news, video and data, both for real-time trading platforms and dealing rooms and for online and offline media publications. The information in this article is not intended as professional investment advice or as a recommendation to make certain investments.