Gold has surged to record highs in 2025, recently topping $3,500 per ounce. With market uncertainty and ongoing inflation concerns, it’s no surprise that gold has captured investor attention.
Why Gold Draws Interest
Gold has long been viewed as a store of value—revered for its independence from government policy, limited supply, and historical use as a safe haven in times of market or geopolitical stress. These qualities can make it feel like a stabilizing force when other parts of a portfolio are under pressure.
It also doesn’t hurt that gold has been used as a form of money and wealth storage for thousands of years. This kind of historical longevity adds to its emotional appeal for many investors.
Understanding the Trade-Offs
That said, it’s important to understand how gold differs from other long-term investments. Unlike stocks, bonds, or real estate, gold does not generate income. There are no dividends, no interest, no rent. Its value depends entirely on what others are willing to pay—making it more susceptible to swings in investor sentiment.
While gold has had periods of strong performance—particularly during times of crisis—it’s also experienced long stretches of stagnation. For this reason, it’s generally not considered a foundational asset for retirement income or growth, but rather as a potential complement to a well-diversified strategy.
Considering How to Own It
For those interested in gaining exposure to gold, it’s worth considering owning it through an ETF. Gold ETFs can provide exposure to price movements without the logistical burden of storing, insuring, or transporting physical gold. They also allow for easier rebalancing within an investment account.
Final Thought
As with any investment, it’s important to weigh how gold fits into your broader goals, time horizon, and risk tolerance. Whether you view it as a hedge or simply as a piece of historical stability, the key is making informed choices aligned with your overall financial plan.
If you’re thinking about adding gold—or any alternative asset—to your portfolio and want help evaluating how it fits, we’re happy to be a resource.