Britain welcomes its latest Prime Minister

Categories: Invest

Today, Number 10 welcomes a new Prime Minister through its doors. Boris Johnson becomes the 14th individual PM of Her Majesty Queen Elizabeth II’s reign. A record number only equalled by George III in 1812, when Lord Liverpool became the 14th Prime Minister of his fifty-nine-year reign*. In comparison to other monarchs, ten Prime Ministers served Queen Victoria during her sixty-three-year reign, while only five served George II and George V respectively.

Gold, like the monarchy, is a symbol of constancy through change, helping investors and citizens across the world weather economic or political uncertainty. Queen Elizabeth II has reigned steadfastly through turbulent times, witnessing dramatic social, economic and technological changes.

The graph below clearly illustrates gold’s role in shielding investors from unexpected market events such as the 9/11 terror attacks on US soil of September 2001, or the financial crash of 2008.

Source: London Bullion Market Association, London Stock Exchange.
Source: London Bullion Market Association, London Stock Exchange.

The graph compares the closing price the day before the market event occurring, and the period of a month after the event. In this timeframe, the FTSE 100 closing price ranged between 6% lower and 6% higher than the 23rd June 2016 closing price. The gold PM fix on the other hand reached a price 24% higher than the 23rd June 2016, and did not venture lower in this timeframe. Overall, the above graph suggests that gold, like the monarchy can usually be relied upon in times of crisis.

A symbol of strength & majesty

The Royal Arms gold 1 ounce coin
The Royal Arms Gold One Ounce Coin

With the launch of The Royal Arms investment coin earlier this year, The Royal Mint has combined two powerful symbols of constancy through change which persist to faithfully serve the United Kingdom and the world, to this day.

The British monarchy, like gold, continues to hold global prestige, with the Queen still positioned as the Head of State of sixteen countries across the globe, whose Central Banks hold over 380 tonnes of gold between them.

With gold more accessible than ever before, enhance your portfolio today with The Royal Arms bullion coin, a symbol of strength and majesty. This coin is also available in 1oz silver.

*Coincidently, this month The Royal Mint hosted a live public ballot, auctioning off an extremely rare 1819 George III Sovereign which sold for a staggering £100,000.

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