No. of views : (1816)
Gold: The safest investment haven! Why?
Posted on: 28/Jul/2020 9:44:26 AM
Apart from being an integral part of wedding ceremonies in India, gold is traditionally used as a hedge against inflation and considered a safe haven for investors during periods of uncertainties.
- Whenever stock markets, real estate, and bonds fall across the world, investors turn to gold to park their funds.
- The fall in the value of other asset classes and global uncertainties in the wake of COVID-19 helped gold climb to a record high.
- A key factor behind this robust performance is that the supply growth of gold has changed little over time - increasing by approximately 1.6% per year over the past 20 years. In contrast, fiat money can be printed in unlimited quantities to support monetary policy, as exemplified by the Quantitative Easing (QE) measures in the aftermath of the global financial crisis.
- Gold established as an investment, a reserve asset, and adornment is highly liquid, no ones liability carries no credit risk and is scarce, historically preserving its value over time.
For more inquiries please contact:
