Despite the interest rate in gold, institutional investors remain hesitant: report

Despite the interest rate in gold, institutional investors remain hesitant: report

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Despite an increase in interest in gold as a strategic cover against market volatility and inflation, institutional investors continue to hesitate to considerably increase their exposure, according to a report from the incrementum of Liechtenstein-based investments and assets management.

According to an analysis of the world markets, family firms allocate only one percent of their portfolios to gold and precious metals, which brings it on the same footing with niche assets such as art, antiques and infrastructure, and far behind more favorite categories such as private equity, real estate and even cash.

“Despite the growing interest in gold as a strategic active, institutional allocations remain strikingly low. … Family Offices only attribute one percent of their portfolios to gold and precious metals that are on the same footing with art and antiques, as well as infrastructure, and far below the allocations to private Equity, or even Kassa said.

In recent months, gold has seen interest as a result of the instability resulting from trade tensions; The gold price, however, witnessed a decrease after a sharp increase in January-April 2025, in which gold prices with 25 percent were GERALLY.

The prize in the prize in praise reflects a reduced fear of the trade war and then reduced the profession of safe haven.

Data released from the World Gold Council (WGC), although it remains, also show the most important sources of demand for gold that came into effect in the first quarter of 2025.

In this respect, the investment-related demand for gold substantiated that with 170 percent yoj in Q1 2025 the rally underlined in the period when investors turned to the yellow metal in the light of uncertainty about the Trump policy regime and in particular about the trade war.

Since the traderity is illuminated between the US and China after the 90-day truce between the US, the subsequent demand for gold has been reduced, which has driven the prices lower.

In the Indian markets, the price of gold reached again on Saturday at 98,900.00 for 10 grams. Prices on 17 May, according to the prices at MCX, were at ÂŁ 92,480 for 10 grams.

Gold prices on the Indian markets have traded flat and respond to weakness in the worldwide prices and a mild appreciation for the INR against the USD that took place in the period.

In volume terms, the import of gold on a successive basis fell because the country imported $ 3.1 billion in gold in April after importing $ 4.5 billion in gold in March, which a relaxation of the demand for jewelry that took place in response to increased prices.

Published on 25 May 2025

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