The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site. Please see our Subscription Terms and Conditions.

All material subject to strictly enforced copyright laws. © 2022 Euromoney, a part of the Euromoney Institutional Investor PLC.


The gold price has risen spectacularly in the past year but it is not clear that this buoyancy can be maintained, particularly as investment demand has far exceeded any increase in purchases by manufacturers.

Investors rush to the gold market

Prudent investors often hold a proportion of their portfolios in commodities for the sake of diversity. Some buy when they expect inflation to rise; others dip in occasionally, resorting to certain of these markets as safe havens when equity and bond markets are on the slide.

But the sharp rise in the gold price over the past 12 months may be pointing to a broader change in sentiment among investors.

Last month - in marked contrast to the world's slumping equities indices - gold broke through $370/oz. Twelve months earlier, it was nearer $270/oz. At this rate, it may even rid itself of its image as an unpredictable and esoteric investment.

Interest in bullion is now so high that banks are working on new products to tempt mainstream institutional and retail investors. The most innovative of these is likely to be a bullion-backed exchange-traded fund, to be listed on several exchanges worldwide. The World Gold Council, along with HSBC and other banks, is working on such an instrument.

Details are scarce, as the institutions concerned are not prepared to comment on it at this stage.

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.


Unlimited access to and

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually


Unlimited access to and, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors


Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree