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Keywords:
Precious Metals, Portfolio Diversification, Fourier Bootstrap ARDL Boundary Test, Fourier Bootstrap ADL Test.Abstract
This paper looked into the potential diversification properties of these assets in a portfolio made up of selected precious metals (gold, silver, platinum, palladium). The cointegration relations between precious metals were investigated using the Fourier Bootstrap ARDL Boundary Test and the Fourier Bootstrap ADL Test using monthly data from 01.02.2010 to 01.05.2023. The precious metals do not behave together in the long run, according to the results of the Fourier Bootstrap ARDL boundary test and the Fourier Bootstrap ADL test. To put it another way, it has been discovered that valuable metals have no cointegration relationship. As a result, it is possible that portfolio diversification can be done with a basket made of precious metals.
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