Hard asset

In finance, a "hard asset" may be real estate, commodities, or energy.[1] For example, gold and silver are regarded as "hard" assets.[2] Other types of raw materials, such as oil, copper, and aluminium. are also considered "hard" assets.[2]

Such assets are distinguished from "soft" assets such as stocks and bonds.[2] Like soft assets, "hard assets" are susceptible to bubbles.[1]

In traditional intermarket analysis, hard assets were considered an inflation hedge, in that the value of hard assets increases when the value of soft assets decreased, and vice verse. However, this is not always the case; sometimes the value of these assets moves in the same direction.[2]