Inflation protection as an uncorrelated asset?

Stubbornly high developed world inflation is providing investors with an opportunity for diversification, according to Fidelity's Andy Weir.

Weir, manager of the $668m Fidelity Global Inflation Linked Bond fund, said the opacity of market movements means attempts at market timing are even harder to call than usual, leaving investors to instead try to seek out uncorrelated assets. "To say it is opaque out there is a massive understatement. Risk-on /risk-off is completely dominating almost all markets. I have never known markets to be as correlated as they are now. One consequence is that high yield bonds, as well as investment grade bonds, are now moving almost fully in line with the performance of government debt, accordin...