230 days ago • Posted by Paul de La Baume

Investors position for #inflation #stocks #alternatives #assetallocation

Investors have poured capital into investments tied to the inflation theme this year. It's not a surprise to anyone that investors are positioning to hedge against the threat of inflation. Investors have allocated an impressive 20% of the $180 billions of inflows into ETFs in 2021 towards inflation-protected funds, according to iShares. Additionally, flows towards real assets such as real-estate, infrastructure, or commodities have also been very strong. Inflation will most likely remain a key topic on top of investors' agenda entering next year. A more pronounced level of inflation or a less persistent one could see investors rapidly rebalance portfolios. Nonetheless, there could be other reasons investors added to alternatives such as for diversification purposes amid surging stock prices.