| For hundreds of years, even after the abolishment of the gold standard, gold has played a vital role in the global economy. Gold has represented stability, and even though it does not pay interest or dividends. Not only does it provide a perceived safe haven for investments, but also gains from the price of gold over the past 20 years have been rather appealing.
The price of gold has almost doubled from $589 to $1176 per ounce, and an investment of $10,000 in February 1995 would result in $20,000 in value at present. Thus investors may question whether it is possible to find a substitute for gold, an asset that provides a hedge against inflation, and with a negative correlation to a traditional portfolio, whilst remaining an asset, preserving its purchasing power...............................................Full Article: Source
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