This latest edition examines gold’s performance during the first half of 2014 and focuses on two trends that, in our view, support adding gold to portfolios as a means of protection and risk management:
- Record issuance of lower-rated bonds across markets
- The historically low volatility environment.
On this edition of our quarterly research report, we discuss gold’s role as a liquid alternative to stocks, bonds and cash, and its ability to reduce risk and improve portfolio performance.
Volume 6 (June 2014) includes three articles:
I. How gold improves alternative asset performance
II. Gold: metal by design, currency by nature
III. The most liquid of all ‘liquid alts’
Gold has unique properties as an asset class. The diversity of gold-backed and gold-related products means that gold can be used to enhance a wide variety of individual investment strategies and risk tolerances.
Our analysis shows that gold can be used in portfolios to protect global purchasing power, reduce portfolio volatility and minimise losses during periods of market shock.
It can serve as a high-quality, liquid asset when selling other assets would cause losses.
Explore the factors that have driven China’s rise to become the number one producer and consumer of gold and why the market will continue to expand, irrespective of short term blips in the economy.
View graphs and spreadsheets of daily, monthly and annual gold prices in different currencies.
Our interactive price chart can be used to create a sharable pdf or image charting the gold price in up to 12 currencies, by six measures of volume and from 1970 to the present day.