World’s rich put a third of funds into cash as trade war simmers

Bloomberg/Joanna Ossinger

“Wealthy investors around the world are holding a relatively high level of cash, and perhaps they’ve become too cautious, according to UBS Group AG. The world’s largest wealth manager said 32 percent of high-net-worth portfolios are in cash, in a survey released May 7. In Asia and Latin America, the portion was 36 percent, compared with 31 percent in Switzerland and 35 percent in the rest of Europe. The outlier: the U.S., at just 23 percent.”

USAGOLD note:  That U.S. number is interesting to say the least. . . .American investors are all-in with respect to the stock market thinking they can get out when the time comes without any serious injury.  Blind faith?  Wishful thinking? Or trust well-placed?  Time will tell. . . . . .For those with a healthy skepticism and a lot of cash, though, we know of another liquid instrument that does not carry the burden of counterparty risk.  It is yellow, shiny, comes in the form of coins and bullion and has a history of serving its owners as a storehouse of wealth since before the time of the Caesars.

Repost from 5-8-2019