Gold ETFs were in demand in 2020 like never before.
Inflows into gold ETFs reached an all-time high of 877 tons of gold, or $47.9 billion. With inflows of 231 tons of gold, the record of 2009 was broken. This form of investment was in particularly high demand in January, February and the second half of the year. In this context, demand for gold ETFs corresponded to roughly a quarter of the average annual mine production in recent years.
Demand for gold bars and coins was stronger in the West than in the East. But demand also recovered in the East in the third quarter of 2020. The U.S. elections and the news of Corona vaccines then led to lower investor interest at the end of 2020.
Overall, gold was one of the best performing assets. The price of gold rose by around 25 percent last year, reaching an all-time high of US$2,067.15 per troy ounce on August 6. The price drivers in gold are the same in the new year and demand should therefore continue. This is because improved opportunity costs, the zero-interest rate policy and the economic impact of Covid-19 continue to have an effect.
Gold therefore belongs in the investment portfolio, for example in the form of shares in solid gold companies. These include, for example, Aguila American Gold - https://www.youtube.com/watch?v=kTL7DtiLW8o - with its Wusa gold-silver project of around 70,000 hectares in Oregon, USA. Four diamond core holes reached planned target depths totaling 649 meters.
Condor Gold's - https://www.youtube.com/watch?v=4tSmFPSMTDk - La India gold project in Nicaragua is also progressing well with the current drilling campaign. And as with Aguila American Gold's Wusa project, work is being done on historic ground.
In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.
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