Gold Should Be Thought of as Insurance Policy, Wickwire Says

Investors should look at gold as an insurance policy for other financial assets, Joseph Wickwire, who manages $4.5 billion at Fidelity Investments, said today at the Bloomberg Portfolio Manager conference in New York.

Macroeconomic imbalances, reflationary policies and geopolitical tensions will drive prices higher in the long term, Wickwire said. Investors with risk-tolerant portfolios should hold the metal to hedge against volatility in other markets, he said.

“Gold pays off when stocks, bonds and currencies disappoint,” Wickwire said. “A little goes a long way.”

To contact the reporter on this story: Millie Munshi in New York at mmunshi@bloomberg.net

To contact the editor responsible for this story: Steve Stroth at sstroth@bloomberg.net

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