首页
外语
计算机
考研
公务员
职业资格
财经
工程
司法
医学
专升本
自考
实用职业技能
登录
外语
So far, inflation is roaring in only a few sectors of the economy. While platinum has soared 121 percent, soybeans have risen 11
So far, inflation is roaring in only a few sectors of the economy. While platinum has soared 121 percent, soybeans have risen 11
admin
2011-02-11
67
问题
So far, inflation is roaring in only a few sectors of the economy. While platinum has soared 121 percent, soybeans have risen 115 percent, and an index of Real Estate Investment Trusts has climbed 42 percent since May 2001, the consumer price index (CPI) has gone up only 4.2 percent during the same period. The challenge is figuring out what happens next.
Astute investors are asking two questions: 1) Will the dollar continue to decline? 2) Which assets will continue to inflate?
The value of the dollar matters because much of what Americans buy comes from abroad. And in the past two years, the dollar has been slipping badly: down some 25 percent against a basket of foreign currencies, including the euro and the yen. That makes imported goods more expensive. If the dollar falls further, the rise in prices could boost inflation.
And that’s exactly what some analysts predict. "This is not a run-of-the-mill problem where the currency corrects 25 percent" then stabilizes, says David Tice, Dallas-based manager of the Prudent Global Income Fund. "We have an economy that’s very dependent upon ever-increasing amounts of debt. Look at borrowing in this country for automobiles and housing. At the federal level, we are creating credit as if it is going out of style. Given that, we think the dollar can decline substantially more from here."
That’s why Mr. Tice’s income fund has invested in government bonds in countries that are major trading partners of the US. These bonds tend to increase in value as the dollar weakens.
There are other ways for investors to protect themselves from inflation. For example: TIPS (Treasury Inflation-Protected Securities) are US government bonds that increase both principal and interest payments in line with the CPI/U, which measures prices for urban dwellers. Thus, if the price of consumer goods goes up, TIPS owners get a boost in their rate of return. That’s a level of inflation protection that most bonds and money-market funds don’t provide.
Still, there are no guarantees. If real interest rates rise faster than inflation, TIPS can lose value if they’re not held to maturity. "TIPS have generally been less volatile than traditional bonds," but investors have already seen periods when their inflation-protection doesn’t match the actual rise in prices, warns Duane Cabrera, head of the personal financial planning group at Vanguard, based in Valley Forge, Pa. For example, the year-over-year change in the CPI/U is running about 1.9 percent, be points out, but college costs have been rising about 5 percent annually.
Investors should also discuss the tax consequences with their investment advisers, Mr. Cabrera notes.
On the stock front, investors can also turn to natural-resource stocks or mutual funds that invest in them. A slightly more exotic option: exchange-traded funds, which act like mutual funds but trade like stocks.
Commodities offer another avenue for profit during inflationary times. Individual investors probably want to avoid commodity trading, often a wild and woolly experience. But certain mutual funds offer share holders a chance to profit when commodity prices go up. The PIMCO Commodity Real Return Fund, for example, provides exposure to the performance of the Dow-Jones AIG Commodity Index while generating income from TIPS. Another option: the Oppenheimer Real Asset Fund, which is actively managed and tracks the Goldman Sachs Commodity Index.
There’s no clear winner between these stock funds and the commodities their companies have invested in. When commodity prices are falling, natural-resource firms can protect themselves by hedging their risks, says Kevin Baum, portfolio manager of the Oppenheimer Real Asset Fund. On the other band, hedging may keep them from benefiting when commodity prices rise. And the stocks can be more volatile than the commodities themselves. Gold funds typically are three times more volatile than the price of gold itself.
Sometimes, the commodities and funds tied to those commodities move in opposite directions, Mr. Baum says.
PIMCO’s Mr. Harris is quick to note that many commodity prices have been soaring. So the key question is: Which ones will continue to rise in price? Individual investors should maintain strict discipline when they pick commodities funds, he says
Which of the following is NOT a feasible way for investors to protect themselves from inflation?
选项
A、To invest in government bonds in countries that are major trading partners of the US.
B、To hold TIPS always to maturity.
C、To turn to natural-resource stocks or mutual funds that invest in them.
D、To try Commodities sometimes.
答案
B
解析
这是第六、七段涉及的问题。TIPS,由美国财政部发行的抗通货膨胀保值债券,并非在所有情况下只要持有到期就能够保值,已经有过一些时期,实际物价上涨幅度超过这种债券提供的保值程度。
转载请注明原文地址:https://kaotiyun.com/show/JeeO777K
0
专业英语八级
相关试题推荐
TheOriginofMoneyIntheearlieststagesofman’sdevelopmenthehadnomoreneedofmoneythananimalshave.Hewasconte
Paris:ThankstoaFrenchinsurancecompany,bridesandbridegroomswithcoldfeetnolongerfacefinancialdisasterfromacanc
Onedayyouwentshoppingwithyourclosefriendinasupermarket.Atapointoftime,younoticedyourfriendwasstealthilypu
A、theworld’sfirstmajormusiccompanyB、theworld’sthirdlargestrecordcompanyC、theworld’slargeston-linemusicprovider
几天的阳光在柳条上撒下的一抹嫩绿,被尘土掩埋得有些憔悴色了,是需要一次洗涤。还有干裂的大地和树根也早已期待着雨。雨却迟疑着。我怀想着故乡的雷声和雨声。那隆隆的有力的搏击,从山谷反响到山谷,仿佛春之芽就从冻土里震动,惊醒,而怒茁出来。细草样柔的雨丝又
GoingForth,TheNationsMultiplyUnevenlyDespitewars,famines,andepidemics,Earth’spopulationisboomingaheadtonew
Whyshouldanyonebuythelatestvolumeintheever-expandingDictionaryofNationalBiography?Idonotmeanthatitisbad,as
Foryears,Europeanshavebeenusing"smartcards"topaytheirwaythroughtheday.Theyusetheminshopsandrestaurants,plu
不消说,相识的人数是随了年龄增加的,一个人年龄越大,走过的地方当过的职务越多,相识的人理该越增加了。可是相识的人并不就是朋友。我们和许多人相识,或是因了事务关系,或是因了偶然的机缘——如在别人请客的时候同席吃过饭之类。见面时点头或握手,有事时走访或通信,口
随机试题
门脉高压症形成后,在扩张的交通支中最有临床意义的是
按化学性质分类,肾上腺素属于按化学性质分类,胰岛素属于
设备材料采购评标,如果采用全寿命费用评价方法,其正确的做法是()。
下列各项中,可以成为经济法主体的有()。
在基督教的节日中,每年春分月圆后第一个星期日是()。
阅警以公安机关人民警察队伍接受检阅为形式,充分展现公安机关人民警察良好的精神风貌、严明的组织纪律和强大的战斗力,是()。
《教育漫话》(2016年湖南师大)
设f(x)为R上不恒等于零的奇函数,且fˊ(0)存在,则函数g(x)=f(x)/x().
Readthefollowingarticleandanswerquestions19-25.Forquestions19-25,choosethecorrectanswerA,B,CorD.Mark
Accordingtogovernmentstatistics,menofallsocialclassesinBritainvisitpubsquiteoften,【21】______thekindofpubth
最新回复
(
0
)