Perma Bull Or Perma Bear?
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
As gold continues to hold in the face of some adversity, the question arises -- whether we are perma bulls because of our positive outlook on gold and the other metals. As investors, it’s our job to have a diversified portfolio representing all asset classes to help grow that portfolio. There is never a reason to be a perma bear or bull unless you are talking about the equity market, which over history has gone up on average 9% per year since the beginning.
Gold is one of those assets that should be held in every portfolio by every investor. A 5%-15% allocation should be part of everyone’s investing plan. Timing the market, whether it’s gold, equities or cryptocurrencies, is impossible for long-term success. At any given time, your portfolio can be slightly overweight any one asset class. The most important thing to remember about your portfolio is balance.
The times you want to be overweight any asset class is based on the technical activity of that certain asset class. This should be based on a short-term objective. For now, gold looks to be the best short-term play to own and as long as the $1,260 level holds, a run to $1,320-$1,340 is in the cards. We remain long and bullish the metals based on the chart formations we are seeing now