Prospects for gold in China’s insurance industry
“Within China’s financial markets, the insurance industry now manages US$2 trillion of assets, following a decade of rapid growth. The Insurance Asset Management Association of China explains why this fast-growing sector might benefit from investing some of its US$2tn assets in gold.”
USAGOLD note: In a subsequent article, the IAMAC’s Deyun Cao says that China’s insurance industry is looking to gold “as a highly liquid asset, constitutes an effective tool for diversifying investment portfolios. It has a strong and consistent track record and is not susceptible to default risk. . .Our study is ongoing but we are confident that gold could be an effective asset for China’s fast-growing insurance industry.” A ringing endorsement for gold signaling interest from a sector within China that has significant purchasing power.
Repost from 10-18-2019 (and reminder of a long-forgotten potential source of demand)