Recent evolution of commodities markets raises interesting new questions about the asset class

Jul 14th, 2010 | Filed under: Commodities, Hedge Fund Industry Trends, Today's Post | By: Alpha Male
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A lot has been written over the past two years about the role of institutional investors in commodities markets. A report released by Watson Wyatt and the Financial Times last week showed that pension investment in commodities jumped from 0.4% of all pension assets to 2%, a whopping 5 fold increase. (Click here to see chart showing change to several other asset allocations.)

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  1. [...] AllAboutAlpha.com. Recent evolution of commodities markets raises interesting new questions about the asset class. “While more liquid futures markets makes direct ownership of commodities futures practical, many are apparently turning to professional money managers for their exposure.” [...]

  2. [...] Hedge funds have been riding the gold bandwagon for years now like we noted back in January, but those who most need inflation protection seem almost indifferent to the yellow metal. Pension funds’ growing commodity allocations, including gold, still only account for 2% of investments, according to the Watson Wyatt survey cited here in a July 2010 AAA post. [...]

  3. [...] AllAboutAlpha.com. Recent evolution of commodities markets raises interesting new questions about the asset class. “While more liquid futures markets makes direct ownership of commodities futures practical, many are apparently turning to professional money managers for their exposure.” [...]

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