Stansberry Research recently interviewed Michael Gentile, Founding Partner and Senior Portfolio Manager at Bastion Asset Management, during which they discussed gold forecasts for 2022.
What worries him most in the new year, he said, is the US Federal Reserve's stopping bond purchases, and with it questions about where yields will go and what impact this will have on all asset classes.
Over the past year, confidence in the US Federal Reserve has already suffered greatly, so the central bank will have to make a key decision in the coming months, Gentile said.
In his opinion, cash and gold are equally undervalued in the current market situation. It is advised to keep cash (20-30%) this year and is still bullish on gold and silver.
He describes the mining sector as the “least favorite sector”. However, with the lowest share prices and the highest ratings on fundamentals, the gold mining industry offers an excellent opportunity to invest in the long term.