By Allen Sykora
Kitco News
Continuing ultra-loose monetary policy around the world, uncertainty about how well the U.S. economy will perform once quantitative easing ends and potential for renewed hiccups in the bond markets are reasons why it may worthwhile to keep some gold in an investment portfolio, say the managers of the Gabelli Gold Fund (GOLDX).
Gold can be a store of value in hard times since it has no counter-party risk, they pointed out.
Caesar Bryan, portfolio manager for the Gabelli Gold Fund, and analyst Chris Mancini outlined their views on gold and mining stocks in an interview with Kitco News. The fund has $261 billion in assets under management, according to Morningstar.
Short term, it is hard saying what news events could unfold to impact gold. “I would say the dollar strength is probably not helpful,” Bryan said.
But for the longer term, “we think that the backdrop for gold is pretty good,” Bryan said.