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Why do people invest in gold?
Gold plays an important role in a portfolio as a tool for diversification and hedge against inflation and uncertainty.
- It helps protect wealth during inflation
- It usually performs well when equity markets are volatile
- It adds diversification to a portfolio
- It has long-term value and global acceptance
- Its a preferred asset during geopolitical tensions, and uncertainty as its considered as a safe haven.
Gold may not always give the highest returns, but it offers stability when other assets struggle.
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