The Lifecycle of an Investment Idea

The Holy Grail of portfolio management is finding an asset or strategy that has high returns with low correlations to standard portfolio holdings like stocks and bonds. In the mid-2000s, many investors were led to believe they found such an asset in commodities.
One of the main reasons for this belief was an academic paper written in 2005 by Gary Gorton and Geert Rouwenhorst called Facts and Fantasies about Commodity Fut…