A recession in US seems likely, but will Gold be a good asset to own if a recession hits?
Recession is defined as a significant, widespread and prolonged downturn in economic activity. Usually many will term that a country is in recession if there are 2 consecutive quarters of decline in GDP.
Currently, US is not in a recession yet, but many analysts have mentioned that a recession is a very likely scenario if the Fed continues their aggressive stance of raising interest rates to combat inflation. Higher interest rates will increase the cost of borrowing, businesses and consumers will likely cut back on their spending and hiring which will in turn lead to less economic activities.
If US goes into a recession, the popular investment portfolio of holding majority equities might be greatly challenged and many would look at diversifying into other asset classes to tide through this period.
Gold during past recessions
From the above past recessions after the Bretton Woods system collapsed (USD no longer pegged to Gold after 1973), Gold has held up well during recessions except during the Iran & Volcker recession.
Gold seems to have put up a good case for investor to consider especially if the US economy goes into a recession. Will you be looking to add some Gold into your portfolio this period as a safe haven asset?
If I wish to, how much of my portfolio should I then look to allocate to precious metals? This might be the question that you would like to ask. Fret not, we will touch on this in one of our articles, so stay tuned or alternatively, email us at [email protected] or speak to us at +65 62229703 and we will be more than happy to work on this together!
Always remember that periodic management of an investor’s portfolio is important as this will ensure you keep track of your investments and allocate your funds to the asset class that might provide you with a higher return during that period! Also, never put all your eggs in one basket, especially during periods of uncertainty in the economy.
Disclaimer
Please note that past performance is not indicative of the future or likely performance of Gold. This is merely for information and data contained in this article has been obtained from sources believed to be reliable, but GSC makes no representation or warranty as to its adequacy, completeness, accuracy or timeliness for any particular purpose. Please note that none of the information contained here constitutes an offer (or solicitation of an offer) to buy or sell Gold.
Any expression of opinion (which may be subject to change without notice) is personal to the author and the author makes no guarantee of any sort regarding accuracy or completeness of any information or analysis supplied.
Brian
Get excited! Pamp Suisse and Australian Lunar Rabbit Bars and Coins are available for pre-order now!
Get excited! Pamp Suisse and Australian Lunar Rabbit Bars and Coins are available for pre-order now!
Pamp Suisse Lunar Rabbit Gold and Silver Bar
Following the lunar cycle, 2023 is the Chinese Year of the Rabbit, and is celebrated from the 22nd of January 2023 through to 9th February 2024. The latest addition to the popular Lunar Calendar Series celebrates the Rabbit with an ingot design featuring exceptional artwork original to PAMP, rich in traditional Chinese symbolism.
Available in 5g or 1oz of fine gold, or 10g or 1oz of pure silver, this charming design celebrates the Rabbit as the luckiest of the Chinese zodiac symbols. The Rabbit possesses a gentle nature, elegance and beauty, patience, alertness, a responsible nature, and represents long life.
The Rabbit is a very social creature once trust is established. Thanks to its agility and speed it will persevere and overcome obstacles to achieve a goal.
Its lucky directions are east and south, & it is strongly associated with the moon in ancient Chinese folklore. Water is the element associated with the 2023 Lunar New Year and here a Rabbit facing east snacks on a carrot plucked from an overturned basket of fresh vegetables harvested after a season of temperate rainfall. In the foreground is the napa cabbage, considered extremely lucky in Chinese culture.
Australian Lunar Rabbit Gold, Silver and Platinum Coin 1oz
2023 Year of the Rabbit coins feature the work of Ing Ing Jong, a member of the Mint’s design studio since 2011 – the previous rabbit year!
Capturing the animal in different moods, Gold and Platinum coins portray an energetic rabbit leaping among grasses with feathery plumes, while her silver artistry is a tranquil image of two rabbits under a budding springtime branch.
According to legend, the rabbit finished fourth in the Great Race, held to determine which animals should be represented in the lunar zodiac. Consequently, it has represented every fourth year in the 12-year lunar cycle.
Intelligence, creativity, vigilance and compassion are said to be among the personality traits bestowed on those born under the rabbit’s influence in 2023.
In our previous article, we have given a brief introduction of Retail Gold Investment Principles (“RGIPs”). As mentioned, RGIPs consist of a recommended checklist of seven listed principles. This week, we will look at the first principle, “Fairness and integrity”. So what does this mean?
“Fairness and integrity” explains a provider must treat customers fairly and act with integrity, from information and service provision through to transaction completion. It covers general guidance in four areas: fair marketing, education and support, fair pricing and fees, and fair trading and transaction completion.
GoldSilver Central/Kim Gold serves our valued clients with integrity, knowledge and capability. As part of practising RGIPs, we have put in place stringent processes and are selective on the jewellery pieces we pick to ensure authenticity, quality and to meet the standards for weight and purity. We, together with our valued clients, value ethical, responsible purchasing and sustainable living.
If you are interested to read more about the RGIPs, click here.
#GSCxRGIPs
Evon
What are the Retail Gold Investment Principles (RGIPs)… and more importantly, how does it impact investors?
Retail Gold is global — with private investors holding approximately 45,000 tonnes of Gold in bars and coins (that’s around 22% of all the Gold mined throughout history). In fact, bar and coin demand accounts for 25% of annual global Gold demand — representing over 1,000t of retail Gold investment each year. But, beyond bars, coins, and collectibles, Gold ownership has long transcended the need for physical storage. As technology continues to pervade many aspects in our modern lifestyles, investors have also now begun to own Gold in digital formats vaulted on investor’s behalf and operated via mobile apps and websites.
Although retail Gold markets generally operate under local regulation in different jurisdictions, more initiatives were mooted on ways to enhance transparency and build further trust in the retail Gold marketplace. Subsequently, after conducting in-depth research globally, the World Gold Council developed the Retail Gold Investment Principles (RGIPs) as a set of guidelines to steer deeper trust and build relationship between Gold investors and their service providers for a sustainable healthier retail Gold marketplace.
Determined to benefit both retail investors and industry practitioners, the RGIPs was first established by The World Gold Council in August 2020. A recommended checklist of seven listed principles form the basis of how service providers should operate and how investors can identify trustworthy providers fulfilling these guidelines in the diverse retail Gold market.
Since its release, the World Gold Council’s guides have made quite the global impact with adoption in key markets like Singapore, India, China, Germany and North America. Subsequently, the World Gold Council continues to advocate adherence to the Retail Gold Investment Principles by engaging providers and stakeholders worldwide.
These efforts include:
So this is just our first snippet of RGIPs and we hope that you have a better understanding of why this topic will feature regularly in our upcoming articles. We will be covering each principle area in the coming weeks so please stay tuned to our blog. Feel free to reach out to us at +65 62229703 or [email protected] if you have any feedback or comments to add. Meanwhile, stay safe.
#GSCxRGIPs
Reposted from Kim Gold
The Festival of Lights, also known as Deepavali, is widely celebrated every year by Hindus. The first day of Deepavali, Dhanteras, is typically a day of peak sales in Gold annually in India. Dhanteras is a combination of the words, “dhan” (signifying wealth), and “teras” (which means 13th day), and is considered opportune to purchase some form of Gold on this auspicious day.
Why is it auspicious to buy Gold during Deepavali?
The Hindu community views Gold as an embodiment of Goddess Lakshmi, the Goddess of Wealth. Therefore, the ritual of buying Gold bullion or jewellery on Deepavali is believed to invite Goddess Lakshmi to their home and to bless the families with an abundance of wealth.
The legend behind Dhanteras
Once upon a time, King Hima had a son and astrologers predicted the death of the Prince would be on the 4th day of his marriage due to snake bite.
In order to save her husband’s life, the Princess placed all the Gold ornaments in front of the main door to block the snake from entering their palace. With the help of the Gold ornaments, the snake was blocked as their dazzling brilliance nearly blinded the snake.
Thus, the legend of how the Prince was saved from impending death inspired the ritual of buying Gold on the first day of Deepavali. Read More.
This year, we are running a Deepavali special promotion, featuring precious Gold and Silver products. As is commonly known, the Ox is a sacred animal for majority Hindu community, so the Australian Lunar Ox Silver Coin 1oz is on promotion too! Check out our exclusive items here! Grab this chance to get an item from us for additional luck and wealth during this Deepavali!
