Extremely wealthy individuals are capitalising in the ever-rising worth of gold by purchasing bulk quantities of the metal itself.
The information was divulged at the recent Reuters Global Private Banking Summit, bankers whose clients include some of the richest people in the world said that these people had been buying gold in great numbers, in some cases by the ton, in a bid to weather the current financial storm.
Apparently the bank UBS is recommending purchases of physical gold to its most affluent customers. Of these top clients Josef Stadler from UBS said: “They don't only buy ETFs or futures; they buy physical gold, we had a clear example of a couple buying over a ton of gold.” At current prices two tonnes of gold would cost a cool $42 million.
This news comes as gold prices yet again reach new highs, on Tuesday the price hit $1,326.97 per ounce. Experts are now speculating as to whether gold could even reach the $2,000 mark, maybe as soon as the end of this year.
This year gold has set itself out as the investment of choice, outperforming global equities, government bonds and other industrial metals.