The Importance of Global Financial Indices for Investors in Alternative Investment

University of Pardubice, Faculty of Economics and Administration, Institute of Business Economics and Management, Studentská 95, 532 10 Pardubice, Czech Republic

^* Corresponding author: josef.novotny@upce.cz

Abstract

Research background: One of the financial market indicators are very important global financial indices. These express the state and development of the market for certain investment instruments that form the basis of an index. These international financial indices are used to facilitate the process of making investment decisions for investors. Global equity indices are mainly popular with the investing public. However, global indices of alternative investments are less popular. The main problem with alternative investments is their low awareness among the investing public, including the fact that many investors are unable to assess their strengths and investment potential, which can lead to an increase in their assets. Some alternative investments are gaining in popularity especially in times of world financial crises, uncertainty and economic recessions, when their prices tend to rise as investors seek a safe haven to value or protect their free cash, especially from inflation.

Purpose of the article: The aim of the article is to draw attention to the importance and advantages of selected alternative investment with the support of financial indices in the global environment, which is whiskey.

Methods: Methods of analysis, comparison and synthesis were used in the article. The principles of logical thinking were also used to achieve the goal, especially in the application of scientific methods that follow each other.

Findings & Value added: The main finding was that the examined international alternative indices focused on whiskey performed higher than the global equity financial indices in the monitored period.