Definition
Gold is a precious metal valued for its scarcity and historical role as money. Investors view it as a safe-haven during crises, inflation hedge, and portfolio diversifier. Gold has low correlation to stocks and bonds. Investment options include physical bullion, gold ETFs, gold mining stocks, and futures.
Example
During the 2008 crisis, gold rose 5% while stocks fell 37%, demonstrating its safe-haven characteristics.
FAQ
What is Gold?
A precious metal often used as a safe-haven investment.
Why is Gold important?
Gold helps investors evaluate alternative investments and make more informed decisions.