Practical Applications of Inflation Hedging Tools—What Works and What Doesn’t

In Inflation Hedging Tools—What Works and What Doesn't, from the October 2023 issue of The Journal of Investing, Rob Brown of Integrated Financial Partners and Integrated Wealth Concepts finds that oil, silver, diversified commodities, and wheat have performed best as hedges against inflationary surprises. The best combination was equal portions of wheat and diversified commodities. Conversely, gold and Treasury Inflation-Protected Securities (TIPS) have been poor hedges. He also finds that successful hedging of inflationary surprises depends on correctly timing and sizing the hedges.