TY - JOUR T1 - Should Institutional Investors Own Gold? JF - The Journal of Index Investing SP - 19 LP - 27 DO - 10.3905/jii.2011.2.3.019 VL - 2 IS - 3 AU - Robert K. Shapiro AU - Ric Thomas Y1 - 2011/11/30 UR - https://pm-research.com/content/2/3/19.abstract N2 - Institutional investors are not significant owners of gold. If gold effectively hedges inflation, then gold could merit consideration as a strategic allocation in a pension fund. This article evaluates gold’s ability to hedge inflation and monetary policy and tests whether gold should receive a strategic allocation in a pension fund. The findings show that gold is a better inflation hedging tool than other commodities and that, even at a low level of expected return, gold receives a positive strategic allocation in a diversified plan.TOPICS: Other real assets, pension funds, portfolio construction ER -