Gold – the Key to Building Long-Term Wealth and its Preservation

Investors in Switzerland hold an average of around 1% of their financial assets in gold. For long-term wealth creation and preservation however, gold plays an important role. Depending on portfolio theory, a share of 5% to 26% is recommended.

Gold in Asset Allocation

Gold plays a key role in long-term wealth creation.

Return Comparisons: Gold versus Stocks

Compared to stocks, gold is only partially a return driver, but it guarantees financial flexibility and wealth preservation, even in times of crisis.

Gold in Times of Crisis

For investors a gold allocation of 5% to 26% in the overall asset allocation is advisable, depending on the model.

The Role of Bitcoin versus Physical Gold

Bitcoin – often discussed as an alternative to gold – is less suitable due to its high volatility and varying international legal regulations. Tokenized gold is not yet on solid legal ground and is therefore not suitable for long-term wealth creation from today’s perspective.

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Financial economic analysis by the Department of Finance

Prof. Dr. Thorsten Hens of the University of Zurich, commissioned by Bank von Roll (available only in German)

The study