World Gold Council CEO: 'gold is as relevant as ever'

March 25, 2020

New York (Mar 25)  Gold still has an “important role” in the portfolios of investors, said David Tait, chief executive officer. He issued a statement Wednesday reporting that the WGC is among the many businesses and organizations around the world taking steps to safeguard employees, with most staff working from home. He also addressed the market impact. “I have worked at the heart of financial markets for over 30 years and thought I had seen it all: Black Monday, Asian Currency Crisis, the dot.com bubble bursting, and the Global Financial Crisis,” Tait said. “But this is different.

We are reeling [in] the wake of a health and economic shock which monetary and fiscal policy is ill-equipped to deal with.” Gold prices were initially impacted by “rapid-fire asset sales and a dash for cash,” he said. “Notwithstanding recent price volatility, I believe gold is as relevant as ever and will play an increasingly important role in investors’ portfolios in the years to come. The long-term implications of ballooning budget deficits, negative real rates, and debasement of currencies should support gold in future.”

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