Gold, in Australian dollars (AUD), delivered positive returns in 2022 and has also done so to date in 2023, according to a new report by the World Gold Council.
Gold had a positive performance last year, growing by more than six percent according to the data and increasing further by more than one percent so far this year. In comparison, other major assets tumbled in 2022 amid high inflation and hawkish central banks.
The defensive ability of gold has attracted attention from institutional investors such as the Future Fund, Australia’s sovereign wealth fund, which announced the addition of the precious metal to its portfolio.
However, in 2023 markets may be vulnerable to negative shocks, a key concern shared by the Future Fund and one which highlights the possibility of inflation remaining elevated and growth slowing in the coming years.
Read the full report here.