Citi Wealth CIO: The role of gold in diversifying portfolio risk is becoming increasingly prominent

Kate Moore stated in an interview that the company has always regarded gold as a diversifying tool in its investment portfolio to compensate for the shortcomings of bonds in this aspect. Gold is intended to act as a “ballast” in the portfolio, playing a role that long-term bonds have failed to achieve. Therefore, last year, the company increased its gold holdings in the portfolio and will continue to do so. “Bonds can no longer provide the same support and diversification as in the past”; “Take the performance during periods of geopolitical turmoil, for example; due to expectations of increased fiscal spending and rising inflation, both interest rates and yields have gone up.”