Gold Bullion

While the equity markets were declining by over 30 percent in the last bear market, gold bullion prices were steadily increasing. Investors who owned gold bullion experienced returns of over 95 percent in their precious metal investments. Gold is a tangible asset that protects an investor’s portfolio in market downturns or inflationary periods in the economy.

Hedge Your Portfolio with Gold Bullion

During the bear market that began in 2000, the price of gold nearly doubled. This is partially due to the negative correlation between gold and other traditional asset classes. Precious metals, such as gold and silver, often increase in value when stocks are struggling. In addition, there was a flight to safety by global investors as the U.S. dollar began to decline in value.

The major economies of the world

... are directly involved in geopolitical turmoil, specifically in the Middle East. Therefore, their respective currencies are no longer considered stable. Because of recent terrorist attacks on American soil, investments in the U.S. dollar are considered even riskier. Since global investors no longer feel comfortable holding onto American dollars, their only alternative is to purchase gold. The unfortunate reality is that the entire world is susceptible to terrorism. No currency, therefore, is considered a safe investment anymore. Precious metals are tangible assets that are impervious to terrorist attacks. Consequently, people are increasingly exchanging their currencies for precious metals because of the inherent safety. The Bullion Group can help you hedge your portfolio against geopolitical uncertainty with investments in precious metals.