Market Report

Investment behavior in the zero interest rate era: gold still plays a minor role

In Germany, the trade with precious metals is booming, gold has long been on the rise. In surveys on investment behavior, however, the yellow metal plays a minor role to date. In surveys on the most popular investment forms in Germany, Gold ends up always on the last ranks.

Yet, the result of a recent survey of online bank “comdirect” surprises. For in the survey Gold does not appears in the top ten. Far ahead are instead the zero interest investment products giro account (57%), bankbook (50%) and call money (35%). The other yield killers such as the building loan contract (29%) and life insurance (27%) lie well ahead of gold and silver. After all, 16 percent of respondents cited fixed deposits and 12 percent are invested in equities.

In comparable surveys as they are for example commissioned by the precious metal trader pro aurum every year, and carried out by independent research institutes, gold has landed far behind in the single digits places. These survey results are not surprising on closer inspection. The Germans, even if money does not yield interests on their bank accont, are very cautious in alternative investments. And many investors may want to keep their cards close to their chest- gold is one of the most popular “anonymous” investments, so that many investors probably do not rely on the promised anonymity in a survey. In the survey results, investors should always keep in mind that according to figures from the major bullion producers, Germany is among the countries with the greatest demand for investment gold.

About the author

Sebastian Wieschowski

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