Gold prices are on the rise again, and investment analysts are once again trying to figure out what is driving the popularity of gold. They seem mystified that investors would seek out the yellow metal when there are so many other places for them to invest their money. There are bonds, ETFs, blue chip stocks, and real estate investment trusts. Why would anyone choose gold?
There are many reasons to choose gold, but there is one reason that stands above the others at the moment. Gold represents safety and security, so rising gold prices merely reflect investors’ desire to have something a little safer in their portfolio than simple stocks. While this may frustrate stockbrokers and analysts with investment products for sale, there is no doubt that investors do not have to look far for reasons to flee to safe havens.
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