Outlook still bright for gold and gold stocks

After strong gains this year, gold and gold stocks paused in September. Where next? We think the factors supporting these asset classes remain in place.

28 Oct 2020

5 Minutes

The Fast View

  • Gold gained 24% in the first nine months of 2020 due to coronavirus-related uncertainty, a weakening US dollar and low interest rates.
  • Gold equities are attracting a broad spread of investors partly due to gold producers’ potential to pay and even increase dividends when many other sectors are having to cut payouts.
  • We expect the current gold price to remain supported, and we maintain our view that gold equities have significant potential even after their gains so far this year.

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Authored by

George Cheveley
Portfolio Manager

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