Gold alternatives in the post-Brexit world
By Kirsten Hastings, 26 Sep 16
With gold having been one of 2016’s most popular defensive strategies against persisting low returns and the struggle for income, Legal & General Investment Management’s multi-index fund range manager Justin Onuekwusi outlines four alternatives to gold for the post-Brexit world.
“All that shines is not necessarily gold. The price of oil plunged in the immediate aftermath of Brexit, but it has since recovered from its lows. Indeed, we have been seeing upside risks in the oil market, which could start to move back into balance after two years of oversupply.
“Rather than a cause for concern, recent falls may prove an opportunity for multi-asset investors to begin increasing their exposure to the energy sector once more. Given the relative weakness of energy-related equities in the last two years, stabilisation in the oil price could lead to significant gains in the sector.”
Tags: Brexit | Gold | Legal & General | Oil
