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Gold has always been one of the most stable investments there is. Gold is the most popular investment amongst any of the precious metals (silver, etc), and it’s generally viewed as a way for investors to diversify and mitigate risk. For some investors, gold is regarded as a place to store value without growth whereas stocks are a way to see a growth return….So, why did Egyptian billionaire Naguib Sawiris just put half of his $5.7 BILLION into net worth? That’s the question a lot of investors are discussing.
Bloomberg published an article yesterday in which Mr. Sawiris explains why he put several billion dollars into gold:
He said in an interview Monday that he believes gold prices will rally further, reaching $1,800 per ounce from just above $1,300 now, while “overvalued” stock markets crash.
“In the end you have China and they will not stop consuming. And people also tend to go to gold during crises and we are full of crises right now,” Sawiris said at his office in Cairo overlooking the Nile. “Look at the Middle East and the rest of the world and Mr. Trump doesn’t help.” (via)
Apparently, the North Korea-South Korea peace deal could mean huuuuuge returns on investments for the Egyptian billionaire as well. His telecom company has had contracts in North Korea for years but they’ve been paid in North Korean currency which is 100% useless anywhere outside of North Korea. If North Korea opens up to the world after a peace accord with South Korea that could mean a huge financial windfall for anyone who has done business in the country….Not that any of this has dictated why he put billions into gold.
If you want to see where else the billionaire is putting his money in the world you can follow that link below to read the full article!