Investment Insights

This fourth edition of Gold Investor includes two articles: I. Why Invest in gold? Gold’s role in long term strategies; II. Gold and currencies: the evolving relationship with the US dollar.

The role of gold and its benefits have been largely debated within the investment community. Throughout its two articles, Gold Investor highlights the benefits of investing in gold in the context of investment portfolios and details the past, current and future relationship between gold and the US dollar.

The conversation among private wealth advisors is no longer about if they should invest in gold but rather, how much to invest. Bob Alderman, Managing Director for the World Gold Council, explains from Opal Financial Group's 2013 Family Office & Private Wealth Management Forum.

We also highlight that higher portfolio risk- consistent with a rotation out of cash or bonds into equities- warrants a higher strategic gold allocation.

Dr. Andrew Lilico, of Europe Economics, discusses his paper The use of Gold as Collateral for Eurozone Sovereign Debt. The paper assesses the World Gold Council’s proposals on gold as collateral for Eurozone sovereign debt, especially in the case of Italy and Portugal.