Russ discusses the reasons why gold can be an effective hedge going forward.
The point of owning insurance is that it will pay when needed. For investors suffering through one of the most abrupt corrections on record, their insurance policies have had a mixed record.
In early February I suggested that U.S. Treasuries, despite near-record low yields, would still prove an effective hedge. Since the start of the stock market correction, long-duration U.S. bonds have gained 8%. But what about another favorite hedge: gold?
While gold didn't do much during the sell-off, acting more as