Why gold remains our top conviction for 2026

[SINGAPORE] It says a lot about the state of world affairs when gold is on pace to handsomely outperform global stocks and global bonds in 2025 – for the second year in a row. In fact, gold is set to outperform global bonds for the 10th year in a row.

Gold’s record-breaking rally, fuelled by geopolitical uncertainty and concerns about easing fiscal policies worldwide, has lifted the price of the precious metal by over 50 per cent this year, and by more than 150 per cent over the past three years. We have strong conviction that gold will outperform global stocks and bonds again in 2026.

Of course, questions about gold’s valuation remain front and centre in our client conversations. While gold does not lend itself to traditional valuation measures – since holders do not earn regular income – some relative valuation metrics indicate room for further upside, despite near-term volatility.