Investment Commentary: Looking into Q4 2014
Published 27th October 2014
The latest edition of our Investment Commentary examines gold’s performance year-to-date and explores relevant macroeconomic factors that can influence gold’s performance into Q4 2014.
In our view, there are four main reasons investors should view gold as a valuable portfolio component today:
- Positive economic growth is supportive of gold’s long-term demand
- Rising interest rates do not necessarily push gold prices down
- Gold’s cost effectiveness makes it an attractive portfolio hedge compared to other strategies
- Constraints in mine production and falling gold recycling have kept the market in balance.