Why German Investors Are Interested In Gold
There are two primary reasons why German investors want to invest in gold. In a research conducted in the year 2019, it was found that German investors invest in gold to protect their investments and earn long term returns. In a similar study, conducted in 2020, more than 30% of the respondents voted for gold as their go-to investment. In this study, it was found that gold will yield even better results in the coming years, i.e., 26% ahead of stocks.
The world is struggling with the COVID-19 crisis, and the business world is in a mess. This is where gold has proven to be a lifesaver for investors. Moreover, if you take a look at history, you will realize that gold has always been a beneficial investment during times of high risk. It provides favorable returns and minimizes portfolio losses.
You should also know that while most German investors become more aware of the benefits of investing in gold, more than 35% of them have never bought gold before. Some of them will be dealing with gold for the first time after becoming aware of its benefits.
At this point, you must have understood why German investors are interested in gold. The current scenario has affected financial markets around the globe and there is no guarantee when things will return to normal. As a result, investors are preparing themselves for the worst and choosing to invest in reliable commodities, such as gold, that are less likely to feel the impact of these changes.