05.08.2013 - Rick Ferri: Commodities are like dead money
Commodity funds are like a B-movie that gets rave reviews on Wall Street because of the high fees they generate. Stay away from this asset class and you’ll be better off for it in the long term. Commodities are like dead money. They do not pay any interest or dividends and are not expected to earn any return over the inflation rate. A bar of gold does not generate any cash and will never turn into two bars of gold. Year after year it just sits there, costing you money in storage, insurance and perhaps a management fee if you invest in a gold ETF...............................................Full Article: Source
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