Title: Don’t Sleep on Gold

Duration: 60 MIN


COVID-19 fueled the largest deflationary shock to the economy seen since the global financial crisis. The massive accumulation of debt aimed at combating the pandemic continues to drag on productivity that could guarantee a low growth economy for decades to come. While there are no inflation worries at the moment, the Fed’s new softer stance risks sowing the seeds of unwanted inflation in the future, driven by massive fiscal and central bank liquidity and a reluctance or inability to raise interest rates to stop it. Persistent risks to economic well-being, a weaker dollar, and negative real rates are all drivers that may push gold prices above $3,000 per ounce in the coming years.

Meanwhile, in our view, gold companies have become one of the most fundamentally attractive investment opportunities in the market today.  With higher gold prices, established companies are seeing strong cash flow and expanding margins while some junior developers and producers are making new discoveries and expanding production.

It continues to be an exciting time for gold.

  • Investor sentiment and the macroeconomic outlook for gold
  • Gold miners’ ongoing efforts to win back investors
  • Portfolio positioning and companies we’re excited about heading into Q3 2020
Joe Foster

Portfolio Manager, Gold Strategy



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