With the printing presses of the worlds major economies on overdrive, I've become concerned about Inflation over the next 3 or four years at least.
The equities market is bedlam at present, and Im trying to work out the safest avenue for cash in between what little trading Im doing at present.
Speaking with an investment banker I chanced to meet last night, his advice was get all my cash into commodities indexes. As he was quite drunk at the time I didnt push him for further details. However his advice has made me curious to find out more.
I understand what commodities are (basically anything you can order in meters or litres to make stuff with) I am completely ignorant on trading commodities indexes.
Id appreciate some input or at least a referral to threads/website that are authoritative sources of information on the following if anyone can help me-
- Is this sound advice? Would bank interest not rise with inflation (remember the 80's?) and keep me safer than commodities?
- What commodities are looking the most recession & inflation proof?
- Are ETF's the right way to go, or are there other alternatives? Im after high liquidity so I can move money in and out on demand.
- I understand you can buy into an index for a specific commodity (eg gold) but are there higher level indexes - eg catch-all "general hard commodities index fund" "general energy index fund" "general soft commodities index fund" or similar?
Thanks in advance!