What is the Global Asset Unit (GAU)?
The Global Asset Unit (GAU) is a unitless index designed to measure the real value of diverse assets without dependence on any single fiat currency.
It serves as a stable, neutral benchmark for comparing asset performance, eliminating distortions from currency fluctuations.
How is the GAU calculated?
The GAU is calculated as the geometric mean of a basket of global assets including:
- Global Stocks (Vanguard Total World Stock ETF)
- Global Bonds (Vanguard Total World Bond ETF)
- Commodities (Invesco DB Commodity Index Tracking Fund)
- Real Estate (iShares Global REIT ETF)
- Gold (SPDR Gold Shares)
- Bitcoin (BTC-USD)
How to use this application
Basic Analysis
- Select a date range (optional): Choose start and end dates for your analysis. If left blank, recent data will be used.
- Choose assets to track: Select one or more assets from the list. If none are selected, all assets will be included.
- Click "Calculate": The system will fetch data, calculate the GAU, and show a chart of how the selected assets perform relative to the GAU.
- View and download results: The chart and data will display on the right. You can download both for your records.
Adding Custom Assets
- Enter asset name: Give your asset a descriptive name.
- Enter Yahoo Finance ticker: Use the ticker symbol as it appears on Yahoo Finance.
- Click "Add Asset": The asset will appear in the selection list and can be included in your analysis.
Interpreting the Results
In the chart, all assets are indexed to 100 at the beginning of the period. This means:
- Values above 100: The asset is outperforming the GAU basket.
- Values below 100: The asset is underperforming the GAU basket.
The GAU baseline (100) represents how a diverse basket of global assets performs. Comparing assets to this baseline gives a more neutral view of performance than comparing against a single currency like USD.
Tips for Better Results
- Choose appropriate timeframes that include enough data (typically at least 1 year).
- Compare similar assets together for meaningful insights (e.g., gold and silver, or multiple cryptocurrencies).
- When adding custom assets, ensure the Yahoo Finance ticker is correct.
- For technical reasons, some assets may have missing data for certain periods.