WorldCrunch - Precious Haven: Why Gold is an Investor Choice That's Here to Stay
Article by Étienne Goetz in WorldCrunch
For a long time, gold was looked down upon by investors as speculative and uninteresting because it generates neither interest nor dividends. In recent months, however, the precious metal has been gaining in popularity, and is increasingly included in the portfolios that asset managers offer their clients.
With the sharp rise in interest rates, persistent inflation in the United States, rising geopolitical tensions around the world and the re-regionalization of production chains, gold offers qualities not typically found in equities and bonds.
“With the change in the market regime, the correlation between equities and bonds works less well to cushion shocks, and we need to find an alternative asset to play this role,” explains Fabien Benchetrit of BNP Paribas Asset Management. “Gold is one of the diversification tools to meet this need.”
That's why Benchetrit has included the precious metal in .....