The NEXT Greatest Trade Ever: Billionaire Gurus Increasingly Point to Gold

The comments below are an edited and abridged synopsis of an article by Stefan Gleason

Mega investors have been talking up the merits of gold ownership lately: Billionaire hedge fund manager

The NEXT Greatest Trade Ever: Billionaire Gurus Increasingly Point to Gold - BullionBuzz - Nick's Top Six
Senior businessman in suit is working on a laptop and speaking on mobile phone while flying in private jet. Billionaire concept

John Paulson; technology company Palantir (purchased $50 million worth of gold bars in August); billionaire investor Jeffrey Gundlach suggested gold is going a lot higher.

Regardless of whether cryptocurrencies become completely worthless, they could become worth a lot less when speculators and technophiles move on to a new craze.

Bitcoin, Dogecoin, and the like have little utility beyond being a perceived as alternative stores of value. By contrast, the usefulness of physical gold and silver extends far beyond their historic role as money or their potential to function as money in the future.

US consumption is increasingly shifting to China, and that is also affecting the greenback. The US dollar’s status as the global reserve currency of choice is under attack, and its days may be numbered.

Regardless of whether one cares to listen to the views of billionaires, there is currently a strong fundamental case for higher precious metals prices in the years ahead.

Supply is becoming increasingly difficult for the mining industry to expand while new sources of demand are emerging constantly.

The fiscal and monetary backdrop has perhaps never been more bullish for hard assets. Massive sovereign debt levels are putting pressure on central bankers to pump up the currency supply and let loose on inflation.

Finally, geopolitical risks are a wild card for a potential surge in safe-haven demand for bullion.

The next great trade is setting up to be moving out of financial assets for hard assets.

Keeping some cash on hand for emergencies is wise. But banking one’s future on dollar-denominated instruments comes with a big downside; namely inflation, as it erodes the value of conventional investment portfolios.

If billionaire hard money holders are right, the big upside ahead is in precious metals.

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