Does gold play a role in asset allocation re-evaluation?

Respondents could select multiple options. Our survey results suggest that gold could play a role in this re-evaluation of asset allocation. When asked to name the primary role that gold plays in their portfolios, the vast majority of those who own gold ranked diversification and inflation-hedging above all other considerations.

What is the optimal portfolio allocation to gold?

Updated analysis supports an optimal portfolio allocation to gold of 20%. Editor’s note: A revised and updated version of this article can be found here. Flexible Plan Investments, an active money manager and provider of risk-managed investment services, first authored an extensive analysis of the role of gold in investment portfolios in 2013.

Why are gold allocations important?

These meaningful gold allocations reflect institutions’ mounting concerns about inflation and their increasing need for effective portfolio diversifiers at a time of pronounced uncertainty about both short- and long-term market direction.