Those who own gold understand that it’s a generational asset, said Paul de Sousa of Sightline Wealth Management.
After 2020’s all-time high, the gold price hasn’t moved as much as some market watchers would like this year. But not all experts see its lack of momentum as a problem.
Speaking to the Investing News Network, Paul de Sousa, senior vice president and investment advisor at Sightline Wealth Management, said he remains focused on the yellow metal’s further-out future.
“(Gold) is a generational asset, so I’m completely not even fussed whatsoever with what’s happening with the price,” he said. “For those who own it, (they) understand that, and it’s just simply a minor nuisance in the grand scheme of things. This is a long-term hold.”
de Sousa sees more weakness in gold’s future this year as uncertainty in the market continues, but he noted that it’s possible the US Federal Reserve will decide not to taper if the Delta variant picks up further or a fifth variant emerges; it could even increase liquidity. He said those who haven’t amassed as much gold as they would like may want to use any volatility to buy at lower prices.
Aside from gold, de Sousa said lately he’s noticed more and more people retiring early.
There are various drivers for this trend — some people have become more aware of their mortality and want to take time to enjoy their lives, while others are changing their careers to do something more fulfilling. Still others have had to change their retirement plans due to COVID-19.
Each individual is different, but de Sousa emphasized that in general people who are considering retiring early should assess how their assets are allocated and make sure they have a balanced portfolio.
He also pointed out that the coronavirus has shown how quickly situations can change, saying that people who are considering making financial moves to prepare for the future should check items off their list sooner than later — for example, by buying gold during a dip rather than after it moves.
“Plan for the worst and hope for the best and everything should be alright in the end,” he said.
Watch the interview above for more from de Sousa on gold and investing.
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Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.