Gold investors overwhelmingly expect Greek exit from euro
Almost three quarters of gold investors believe that Greece will leave the euro within a year, according to a recent poll by the World Gold Council.
If their expectation is accurate it could benefit gold, which would likely be a safe haven from devaluing currencies such as a reinstated drachma.
As financial markets are rocked daily – upwards and downwards – by emerging news on the Eurozone, roughly the same proportion of wealthy individuals and their advisors trading bullion feel short-term considerations are driving investor behaviour.
Marcus Grubb (pictured), WGC managing director, investment, said: “In the current unprecedented environment where conventional wisdom on portfolio management does not appear to apply, short term decision making has become the norm.
“With the prospect of continued market uncertainty, the challenge for investors is to develop new strategies to cope with higher levels of ambient risk.”
Only 45% of respondents believed European wealth assets will grow from current levels, in real terms, by 2020.