The third asset class does not provide an income stream, nor can it be consumed or transformed, yet it has value. The classic example is art – it may be beautiful to look at, but does not add any economic value in terms of the traditional view. Despite this, people will exchange something else of economic value for possession of the piece of art. In this sense it is a store of value. Another example is currency. Investors will hold United States Dollars (USD) rather than Euro’s if they perceive the USD to be a better store value. They can then at a later stage swap this currency for other assets like bonds, equities or commodities.

• Traditional View on Asset Classes
• Capital Assets
• Consumable or Transformable
• Store of Value Assets
• Human Capital
• Reference or Additional Material