|
|
|
|
|
|
|
Money Metals News Alert
|
November 24, 2025
– Gold and silver continue to show resilience in the fact of the stock
market pullback this month.
The correction after last month's
highs has been modest as compared to the massive rally that preceded.
The metals have moved mostly sideways
as the overbought condition works itself off.
Premiums on coins,
bars,
and rounds
have come back down to multi-year lows. The best deal around in silver is Money
Metals' pre-1965
silver coins -- available BELOW SPOT!
Also, remember that any silver
purchase of $750 or more receives a free 1/4 oz buffalo silver round bonus.
|
|
|
|
Gold : Silver Ratio (as of
Friday's closing prices) – 81.2 to
1
|
|
|
|
As the 60/20/20 Portfolio Strategy Gains
Traction; Gold Becoming a "Core Allocation"
|
|
|
|
|
|
Last month, Morgan Stanley CIO Michael
Wilson suggested a seismic shift in investment strategy when he recommended a 20
percent allocation to gold. It appears investors are starting to take this advice
to heart.
Historically, the conventional wisdom
on Wall Street was a 60/40 portfolio, with 60 percent of the holdings in equities
and 40 percent in fixed-income investments, primarily bonds. The theory is that
these asset classes balance each other, with stocks strengthening in a strong
economy and bonds creating a hedge during downturns.
|
|
|
Given changing market
dynamics, Wilson said investors should consider a 60/20/20 strategy, swapping half
of the bond portfolio for gold to serve as a ???more resilient??? inflation hedge.
Just days later, Sprott
director of ETF management, Steven Schoffstall, echoed Wilson on CNBC, saying a 20
percent allocation to gold and silver will likely yield a better return than a
traditional portfolio.
|
|
|
|
It appears investors have heard the
message.
According to Wisdom Tree analysts,
???a quiet revolution??? is taking shape within investment portfolios because
the traditional 60/40 model doesn???t work anymore.
|
???For decades, the 60/40
mix—60 percent equities, 40 percent bonds—was the shorthand for
prudence, diversification, and balance. But the regime that made that formula
work—low inflation, stable growth, and negative stock-bond return
correlations—appears to have shifted.???
|
Bonds
seem to have lost their safe-haven status in recent months. Last spring, at
the height of tariff uncertainty, gold and silver rallied as bonds sold off. Gold
and silver seem to be the last safe havens standing.
Wisdom Tree analysts say investors
have noticed. Since 2022, there has been a growing number of people questioning
how well bonds balance equity risk, and they are turning to gold.
And for good reason.
|
???Gold is not just a
store of value; it's a statement about the limits of paper promises.???
|
|
|
|
In a world where the
government relentlessly inflates the currency and destroys purchasing power,
investors are losing faith in those paper promises.
|
???In this
new macro geometry, investors are re-examining what the ???40??? should really be.
Morgan Stanley's latest Global Insights calls gold ???an attractive hedge against
fiscal largesse and geopolitics,??? noting its 50 percent rally year-to-date and
near-zero equity correlation.???
|
|
|
|
|
Historically, gold has fallen when
long-term interest rates rise. The Wisdom Tree analysts said this dynamic has
broken down in recent years because investors now perceive those higher rates as
bearish. Now, portfolio managers are ???beginning to re-engineer portfolios for an
era of structural deficits and active fiscal policy.??? They cite the
massive inflows of gold into ETFs – $10 billion in September alone.
|
???The asset's behavior
has evolved: what was once a rate-sensitive trade has become a fiscal-risk hedge.
Correlations with Treasury yields have flipped from deeply negative to positive,
implying that gold now rises with, not against, higher long-term rates when those
rates reflect sovereign stress. That's an inversion of an old mental model.???
|
This shift is already evident in
Europe. Wisdom Tree???s 2025 investor survey of investors in the EU and the UK, 41
percent identified gold as their preferred store of value, well ahead of both the
dollar and Bitcoin.
And they are putting their money where
their mouths are. According to Wisdom Tree, the average portfolio allocations to
gold now stand at 5.7 percent in the EU, equal to holdings in developed-market
sovereign debt.
|
???That balance suggests
gold is no longer viewed as a fringe diversifier but as a mainstream, fixed
component of institutional portfolios.???
|
The Wisdom Tree analysts emphasized
investors aren???t just turning to gold to sidestep market volatility. They???re
hedging against counterparty
risk.
|
???They're buying the
only liquid asset that sits outside the liabilities of any government or central
bank.???
|
Wisdom Tree called this ???a profound
shift??? as investors realize ???the architecture of portfolio resilience is
changing.???
|
???Instead of treating
gold as an accessory to a portfolio, some strategists now treat it as a core
sleeve of real assets—a 20 percent reallocation from the bond bucket that
acknowledges diversification is no longer about opposites, but about
orthogonality.???
|
While some may view the new 60/20/20
model as a radical break from traditional portfolio strategy, the Wisdom Tree
analysts said it could be seen as ???less a radical break than a quiet return to
first principles: holding something that no one else owes you.???
|
|
|
|
|
|
|
|
This week's Market Update was
authored by Money Metals Contributing Writer Mike Maharrey.
|
|
|
|
|
|
|
|
|
|
This copyrighted material may not
be republished without express permission. Offer only available through email
promotion. Offer does not apply to previous orders and may not be combined with
any other offer or program. Special shipping rates or other restrictions may apply
to international orders. The information presented here is for general educational
purposes only. Money Metals Exchange and its staff do not act as personal
investment advisors. Nor do we advocate the purchase or sale of any regulated
security listed on any exchange for any specific individual. While our track
record is excellent, investment markets have inherent risks and there can be no
assurance of future profits. You are responsible for your investment decisions,
and they should be made in consultation with your own advisors. By purchasing from
Money Metals, you understand our company is not responsible for any losses caused
by your investment decisions, nor do we have any claim to any market gains you may
enjoy. Money Metals Exchange is not a regulated trading ???exchange??? as defined by
the CFTC and the SEC.
|
|
|
