Central banks invest in gold for many reasons. There are well known reasons such as - gold’s role as a safe haven asset and - an effective portfolio diversifier. But the survey results also reveal that there are other important reasons relevant to central banks, such as - gold’s ability to improve risk-adjusted returns and - its use as valuable collateral both of which were viewed as relevant by 71% of central banks. moreover, - Low U.S. interest rates, - the Trump administration’s unpredictable combativeness and - insatiable appetite for debt, and - geopolitical tensions. These central bank buyers are predominantly from countries that stand in direct economic or political opposition to the U.S., and so are keen to move away from the U.S. dollar as a foreign reserve currency. are making gold look like a safer asset than U.S. debt instruments . A few more years of this, and it’s possible that more countries’ international reserves will be s...