Gold To Be 'Most Favored Investment' This Year
Source: BullionVault (2/26/09)
"The survey. . .placed gold investment ahead of investment-grade bonds and other assets."
The World Gold Council (WGC) conducted a study, which found that around 60% of the 31 advisors questioned believe that investors will take less risks this year.
Marcus Grubb, the WGC's managing director of investment research and marketing, told Bloomberg: "In today's market, safety and stability are at the forefront of investors' minds. Further de-risking [will occur due to] uncertainty over the financial landscape, combined with future inflationary fears resulting from interest rate cuts and quantitative easing by central banks."
The survey, which also revealed that 30% of investors plan to be less risk-averse, placed gold investment ahead of investment-grade bonds and other assets.
The news comes barely a week after the WGC revealed that gold investment tripled in China over the course of 2008.
As Albert Cheng, Far East managing director for the London-based body, explained to Reuters: "Going forward, investment demand will remain robust in China because people are looking for an investment tool that they easily understand.
"It's a very good hedge against volatility in the financial markets."