Inflation, currency risk and diversification: Where gold does and does not fit
From msn.com
Gold is one of the few assets that can gain value when everything seems to be going wrong in financial markets. But the precious metal doesn’t always outperform index funds or even fixed income products. Knowing what influences gold’s price movements can help investors gauge the optimal times to accumulate the precious metal and when to patiently wait on the sidelines. Here’s what prospective investors need to know about the role of inflation, currency risk, market uncertainty and diversification when it comes to adding gold to their portfolios. Rising inflation can boost gold Gold will always hold intrinsic value. ...
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