ETFdb Logo
ETFdb Logo
  • ETF Database
  • Channels
    • Active ETF
    • Alternatives
    • Beyond Basic Beta
    • China Insights
    • Climate Insights
    • Commodities
    • Core Strategies
    • Crypto
    • Disruptive Technology
    • Dividend
    • Dual Impact
    • Emerging Markets
    • Energy Infrastructure
    • ESG
    • ETF Building Blocks
    • ETF Education
    • ETF Strategist
    • Fixed Income
    • Free Cash Flow
    • Future ETFs
    • Global Diversification
    • Gold/Silver/Critical Minerals
    • Innovative ETFs
    • Institutional Income Strategies
    • Leveraged & Inverse
    • Managed Futures
    • Market Insights
    • Megatrends
    • Modern Alpha
    • Multi-Asset
    • Night Effect
    • Portfolio Strategies
    • Retirement Income
    • Richard Bernstein Advisors
    • Tax Efficient Income
    • Thematic Investing
    • Volatility Resource
  • Tools
    • ETF Screener
    • ETF Country Exposure Tool
    • ETF Sector Tracker Tool
    • ETF Database Categories
    • Head-To-Head ETF Comparison Tool
    • ETF Stock Exposure Tool
    • ETF Issuer Fund Flows
    • Indexes
    • Mutual Fund To ETF Converter
    • ETF Data for Journalists
    • ETF Nerds
  • Research
    • First Bitcoin ETF
    • ETF Education
    • Equity Investing
    • Dividend ETFs
    • Leveraged ETFs
    • Inverse ETFs
    • Index Education
    • Index Insights
    • Top ETF Sectors
    • Top ETF Issuers
    • Top ETF Industries
  • Webcasts
  • Themes
    • AI ETFs
    • Blockchain ETFs
    • See all Thematic Investing ETF themes
    • ESG Investing
    • Marijuana ETFs
  • Multimedia
    • ETF 360 Video Series
    • ETF Trends on Videos
    • ETF Trends on Podcasts
    • ETF Prime Podcast
  • Company
    • About VettaFi
    • Get VettaFi’ed
  • PRO
    • Pro Content
    • Pro Tools
    • Advanced
    • FAQ
    • Pricing
    • Free Sign Up
    • Login
  1. Gold/Silver/Critical Minerals Channel
  2. Central Banks Haven’t Bought This Much Gold Since 1967
Gold/Silver/Critical Minerals Channel
Share

Central Banks Haven't Bought This Much Gold Since 1967

Ben HernandezFeb 02, 2023
2023-02-02

So far, central banks have been voraciously eating up the global gold supply even with the expectation that rising interest rates will eventually subside.

“Central banks added a whopping 1,136 tonnes of gold worth some $70 billion to their stockpiles in 2022, by far the most of any year since 1967, the World Gold Council (WGC) said on Tuesday,” a Reuters article noted.

The article also mentioned that central banks prefer gold as a safe haven asset when it comes to protecting against the downside. While the capital markets are expecting things to improve in 2023 after a tumultuous 2022 fraught with inflation and rising rates, the central banks might be telling investors that the worst could be yet to come.

The overall hope is that a slower pace of rate hikes could eventually give way to increased investor sentiment, and so far it has, with both the stock and bond markets starting 2023 off strong. Nonetheless, no one has a crystal ball to accurately forecast the future, and gold can be an ideal asset during turbulent times.

“This is a continuation of a trend,” said World Gold Council analyst Krishan Gopaul. “You can see those drivers feeding into what happened last year. You had on the geopolitical front and the macroeconomic front a lot of uncertainty and volatility.”

2 Golden Opportunities for Exposure

Voracious investors looking to lap up gold as well can look at other options as opposed to physically holding the precious metal itself.

Investors who want gold exposure similar to holding physical gold can opt for an easier strategy via the Sprott Physical Gold Trust PHYS. PHYS provides an enhanced physical bullion structure, offering the ease of purchase and sale that comes with being traded on an exchange.

Lastly, investors who want gold exposure with an environmental, social, and governance (ESG) component can consider the Sprott ESG Gold ETF (SESG ). The fund directly sources from select gold producers that Sprott believe are leaders in ESG mining and sustainability.

SESG adds something of a backdoor play on gold prices, investing in ancillary services that support the gold market as opposed to the actual precious metal itself. Furthermore, the ESG component gives conscious investors an opportunity to allocate capital to gold miners exhibiting ESG-friendly operations.

For more news, information, and strategy, visit the Gold & Silver Investing Channel.


Content continues below advertisement

Loading Articles...
Help & Info
  • Contact Us
Tools
  • ETF Screener
  • ETF Analyzer
  • Mutual Fund to ETF Converter
  • Head-To-Head ETF Comparison
  • ETF Country Exposure Tool
  • ETF Stock Exposure Tool
  • ETF Performance Visualizer
  • ETF Database Model Portfolios
  • ETF Database Realtime Ratings
  • ETF Database Pro
More Tools
  • ETF Launch Center
  • Financial Advisor & RIA Center
  • ETF Database RSS Feed
Explore ETFs
  • ETF News
  • ETF Picks of the Month
  • ETF Category Reports
  • Premium Articles
  • Alphabetical Listing of ETFs
  • Best ETFs
  • Browse ETFs by ETF Database Category
  • Browse ETFs by Index
  • Browse ETFs by Issuer
  • Compare ETFs
Legal
  • Terms of Use and Privacy Policy
  • © 2023 VettaFi LLC. All rights reserved.
Follow ETF Database
Follow ETF Database

Advertisement

Is Your Portfolio Positioned With Enough Global Exposure?

ETF Education Channel

How to Allocate Commodities in Portfolios

Tom LydonApr 26, 2022
2022-04-26

A long-running debate in asset allocation circles is how much of a portfolio an investor should...

Core Strategies Channel

Why ETFs Experience Limit Up/Down Protections

Karrie GordonMay 13, 2022
2022-05-13

In a digital age where information moves in milliseconds and millions of participants can transact...

}
X