Are Precious Metals a Good Hedge Against Inflation in The Netherlands?

This study tests the hedging ability of four primary precious metals (Gold, Silver, Platinum, and Palladium) with short-term investment horizons in the Netherlands. This study also compares the hedging ability of these precious metals between the covid period and the no-covid period. We found that these precious metals do not have inflation hedging ability with short-term investment horizons in the Netherlands. It is not wise for investors who want to hedge inflation to invest in precious metals in the Netherlands.