Gen-z and Millennials are driving the increase in the number of gold investments, according to research from The Royal Mint.
A survey of over 2,000 UK investors commissioned by the coin production company and research company Censuswide found that the volume of gold investments surged by 26% last year.
This increase was largely driven by Gen-z and Millennial investors, who raised their volume of purchases by 38% and 29%.
The Royal Mint added that the increased investment is likely to continue, with around 23% of those surveyed saying they will invest in the precious metal this year as market uncertainty remains.
Research showed that more than half of investors said they were worried about market volatility and the impact this would have on their investments.
Gold is often lauded for its ‘safe haven’ characteristics, with investors flocking to the metal when inflation rises and volatility enters the market to protect the value of their cash.
Andrew Dickey, The Royal Mint’s director of precious metals said the data clearly shows investment risks are at the front of the minds of UK investors at a time when markets are “notably more unpredictable.”
Dickey notes that while many investors look to diversify their portfolios and hedge against inflation by investing in gold, current market conditions can also be a trigger for long-term investments in gold for many risk-conscious investors.
Gold prices reached an all-time in Sterling on 24 March of £1,634 per ounce and is up nearly 8% over the last 12 months and 3% in the year to date.