FYI: A short digression about an interesting topic:
What is an investable asset class?
This seems like an obvious question — but the answer may be more nuanced than you might think. Try to create a definition yourself, and it goes something like this. An investable asset class consists of a set of members that all share the characteristics of being:
-Readily identifiable;
-Easily objectively valued;
-Trades on a market that is deep and liquid;
-if no market, than a reliable method exists for pricing and transactions;
-Fungible – any one of them (e.g., share of Amazon) can be substituted for any other;
-Legally identical – all are subject to the same laws and regulations;
-Has positive returns expectations.
Regards,
Ted
https://ritholtz.com/2019/10/investable-asset-class/
