The Normative Role of Gold In Investment Portfolios

CPM Group advises institutional fund management clients on the potential value and role of holding gold and other commodities in a diversified portfolio, including trading the asset on a tactical basis.

CPM Group has provided these research and consulting services to institutional investors since the 1980s. We have a practice focus on providing the theoretical and practical background for including gold in institutional investment portfolios.

CPM fashions these advisory programs to the needs of, intensity sought, timing, and budget of each individual client. The contents are agreed upon at the outset and may cover and include the following areas as well as other aspects, topics, and issues related to the study of the suitability of gold as a portfolio asset of the specific client and the strategic and tactical management issues the client wishes to discuss.

  1. The Normative role of gold in a portfolio.
    1. Why
      • The potential value of gold in a portfolio.
      • Historical quantitative results.
      • Theories and evidence.
      • SWOT analysis
    2. How
      • Long term investment strategies
      • Short term strategies
      • Physical, futures, forwards, options, notes, bonds….
  2. Gold fundamentals and valuation
    1. Valuing gold
      • Comparative valuations to other assets
    2. Risk-free gold value
    3. Market value
  3. Gold investment and trading strategies and tactics

Practices

Mechanics

  1. It Is Not Just Gold
    • Gold
    • Silver
    • Precious metals
    • Commodities

Each has different and distinct profiles, purposes, characteristics, and values for investors.

Reasons To Invest:

  • Why invest in these commodities
  • How to invest in them, strategies, tactics, expected returns and volatilities
  • What instruments to use to invest
  • When to invest
  • Who should you use as counterparts

CPM Provides The Full Range Of Knowledge And Services Necessary For Success

CPM provides research, advisory work, and asset management services related to investing in gold.

  • Analytics and advisory services
  • Research
  • Execution and management

Part of our work can be a Deep Dive into Gold, in which we address issues related to short to long term market research, price projections, market fundamentals, relationships (quantitative and qualitative to a range of macro-economic factors and financial markets such as stocks, bonds, interest rates, and other commodities.