An increasing number of countries are opting to repatriate their gold reserves as a safeguard against potential sanctions akin to those imposed by the West on Russia, according to a new Invesco survey, cited by Reuters.
The study, which involved responses from 85 sovereign wealth funds and 57 central banks, highlighted that financial institutions are undergoing a fundamental reassessment of their strategies in light of the market turmoil experienced last year. The prevailing belief is that higher inflation and geopolitical tensions will persist, prompting sovereign money managers to rethink their approach.
Notably, over 85% of the participants in the Invesco Global Sovereign Asset Management Study anticipate higher inflation in the upcoming decade compared to the previous period.