The World Gold Council releases a report today entitled “Why invest in gold? Gold’s role in long-term strategies”.
The World Gold Council releases a report today entitled “Why invest in gold? Gold’s role in long-term strategies”. The report, which includes an infographic, seeks to define what measures should be used to define gold’s effectiveness in an investment portfolio.
As quoted in the press release:
Misunderstandings about gold’s properties have led to multiple articles contesting gold’s role as an inflation hedge, currency hedge, and tail risk hedge, among others. We contend that by properly defining these functions and using appropriate measures, gold’s purchasing power preservation qualities and risk management characteristics become apparent.
Gold is a well rounded, cost effective strategic asset, which held even in a modest amounts (typically 2%-10% of a portfolio) can help investors reduce risk without sacrificing long term returns.