Gold products very popular with private investors

As a result, CME Group Inc, the parent company of COMEX, the leader in gold and silver futures, will offer a one-ounce gold futures contract in January. According to CME, micro-contracts achieved record trading volumes this year. Private investors want to diversify their portfolios more and younger people are also increasingly turning to gold. Asians are particularly keen on gold as a store of value and as a way of hedging. However, one disadvantage of the new one-ounce gold futures could be the fact that the contract is not settled physically, but in cash. Anyone who wants to own gold is out of luck. And presumably these new contracts are not backed by physical gold either; they are paper gold.

As long as the value of paper gold does not plummet against physical gold, this is not a problem. However, it would be different if there were a run on physical gold. Because there is already plenty of paper gold. This would negate the advantages of physical gold – no default and counterparty risks. Physical gold and silver have long been the most reliable inflation hedges to protect against the ongoing loss of purchasing power of currencies. Mining companies hold physical gold in their projects; it is a tangible, stable asset.

Fortuna Mininghttps://www.commodity-tv.com/ondemand/companies/profil/fortuna-mining-inc/ -, for example, produces gold and silver in five mines in Argentina, Burkina Faso, Côte d’Ivoire, Mexico and Peru. In addition, there is the Diamba Sud gold project in Senegal, which is in the advanced exploration and development phase.

Osisko Developmenthttps://www.commodity-tv.com/ondemand/companies/profil/osisko-development-corp/ – wants to become a medium-sized gold producer. The Cariboo gold project in Canada, the San Antonio gold project in Mexico and the Tintic project in the USA are particularly promising.

Current company information and press releases from Osisko Development (- https://www.resource-capital.ch/en/companies/osisko-development-corp/ -) and Fortuna Mining (- https://www.resource-capital.ch/en/companies/fortuna-mining-corp/ -).

In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.

Disclaimer: The information provided does not represent any form of recommendation or advice. Express reference is made to the risks in securities trading. No liability can be accepted for any damage arising from the use of this blog. I would like to point out that shares and especially warrant investments are always associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. Despite the greatest care, I expressly reserve the right to make errors, especially with regard to figures and prices. The information contained herein is taken from sources believed to be reliable, but in no way claims to be accurate or complete. Due to court decisions, the contents of linked external sites are also co-responsible (e.g. Landgericht Hamburg, in the decision of 12.05.1998 – 312 O 85/98), as long as there is no explicit dissociation from them. Despite careful control of the content, I do not assume liability for the content of linked external pages. The respective operators are exclusively responsible for their content. The disclaimer of Swiss Resource Capital AG also applies: https://www.resource-capital.ch/en/disclaimer/

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