The King Of Safe Havens - I'm Talking Gold

Gold is making a strong comeback in investor portfolios, with prospects of lower real interest rates effectively 'reducing the opportunity cost' of holding gold.

A non-yielding asset like gold becomes less costly when competing returns are weak. In September 2025, the U.S. 10-year real interest rate sat at ~ 1.56% (FRED, https://lnkd.in/gvtxzXqp).

And Gold’s 2025 performance definitely speaks volumes.

By October 7, 2025, spot gold reached USD 3,984.35/oz, representing nearly +51.96 % year-over-year gains (Trading Economics) and at mid-year, it was already up ~26 % according to the World Gold Council.

Likewise, institutional demand is surging... In August 2025, central banks added 19 tonnes of gold to global reserves World Gold Council.

According to the 2025 Central Bank Gold Reserves Survey, 44% of respondents now actively manage reserve allocations (vs. 37 % in 2024).

Moving forward analysts expect full-year demand to remain robust.

Goldman Sachs forecasts a ~6 % rise in gold through mid-2026 (from ~$3,772 to ~$4,000) whilst JPMorgan expects Q4 2025 average prices near $3,675/oz and further upside by mid-2026.

While gold’s investment appeal is rising, its role in jewellery still matters. Karat (purity) determines both value and wearability.

22K or 24K holds higher intrinsic value, but is softer and less durable in daily wear.

I've been seeing many buyers balance purity and practicality and as a result may choose a slightly lower karat for resilience without giving up too much intrinsic value in the piece itself.