Universal-Investment today launched a global gold equity fund in collaboration with Earth Gold Investments AG and its multi-award winning commodity analyst Dr. Joachim Berlenbach and gold specialist Georges Lequime. The Earth Gold Fund UI (ISIN DE000A0Q2SD8) will focus on equities, funds, ETCs and other gold-sector securities, using a value-oriented stock picking approach to select undervalued multi-cap gold mining companies. The fund's portfolio may also include other precious metal stocks, such as silver, platinum, palladium and other selected commodities up to a maximum of 33% of total assets.
Berlenbach already services the two commodity and energy funds Earth Exploration Fund UI (WKN A0J3UF) and Earth Energy Fund UI (WKN A0MWKJ). Lequime also served as an adviser to South Africa's biggest gold fund (Old Mutual Gold Fund) for many years.
Gold: dual-function precious metal The world's population, which currently stands at 6.5 billion, is set to rise to 9 billion by 2050. The virtually insatiable thirst for raw materials and energy of emerging economic giants such as China and India already exceeds existing reserves. Demand for oil now stands at 87 million barrels daily but is rapidly approaching the 100 million barrel mark.
The discovery and exploitation of oil, gas, ore and mineral resources is becoming increasingly complex and will automatically lead to higher commodity prices. "This trend will become even more pronounced in the next few years", says Dr. Joachim Berlenbach, founder of the Earth Resource Investment Group (ERIG).
Rising oil prices mean rising gold prices since gold now has a dual function. On the one hand, it is seen as a safe haven and safe investment during periods of inflation and on the other, it is needed as a raw material in sectors such as jewellery production, information technology and telecommunications. "Problems of supply, as we are now seeing in South Africa, and gold's still small share of Asian government reserves (China 1.06%, Japan 2.09%) suggest that demand for gold will increase", says Georges Lequime, who looks after the fund in London. Silver and other precious metals like platinum and palladium follow gold's lead. According to Berlenbach, gold should have a 5 to 10 per cent share in every portfolio.
Berlenbach already services the two commodity and energy funds Earth Exploration Fund UI (WKN A0J3UF) and Earth Energy Fund UI (WKN A0MWKJ). Lequime also served as an adviser to South Africa's biggest gold fund (Old Mutual Gold Fund) for many years.
Gold: dual-function precious metal The world's population, which currently stands at 6.5 billion, is set to rise to 9 billion by 2050. The virtually insatiable thirst for raw materials and energy of emerging economic giants such as China and India already exceeds existing reserves. Demand for oil now stands at 87 million barrels daily but is rapidly approaching the 100 million barrel mark.
The discovery and exploitation of oil, gas, ore and mineral resources is becoming increasingly complex and will automatically lead to higher commodity prices. "This trend will become even more pronounced in the next few years", says Dr. Joachim Berlenbach, founder of the Earth Resource Investment Group (ERIG).
Rising oil prices mean rising gold prices since gold now has a dual function. On the one hand, it is seen as a safe haven and safe investment during periods of inflation and on the other, it is needed as a raw material in sectors such as jewellery production, information technology and telecommunications. "Problems of supply, as we are now seeing in South Africa, and gold's still small share of Asian government reserves (China 1.06%, Japan 2.09%) suggest that demand for gold will increase", says Georges Lequime, who looks after the fund in London. Silver and other precious metals like platinum and palladium follow gold's lead. According to Berlenbach, gold should have a 5 to 10 per cent share in every portfolio.
