Rick Kanda is the Managing Director at The Gold Bullion Company. He advises gold investors to invest between 5 and 10 percent of their portfolios in precious metals as an insurance against uncertain economic times.
Kanda, in an interview given to ,, highlighted the value of gold, as it is a secure asset. This was especially true as recent price spikes have reached a new record of $3,600/oz.
This increase was attributed to the diversification of central banks away from US dollars and geopolitical instabilities.
Kanda said that with the strong demand of Asian central banks and forecasts by institutions such as J.P. Morgan, gold could reach $4000/oz potentially in 2026.
The silver market was also discussed, with a focus on how trade disputes create unpredictability for the industrial sector while driving interest in safe havens.
Even amid uncertainty about tariffs and rates, cultural factors such as India’s wedding season or China’s Lunar New Year continue to affect gold consumption patterns.
Kanda’s advice for an balanced portfolio highlights the importance of enhancing risk-adjusted return while protecting against possible economic downturns.
Excerpts edited:
What is driving the Gold Rush?
Invezz : Can we expect gold to reach $4,000/oz in mid-2026, as some predictions suggest?
In April 2025, gold prices reached a new record of $3,500 an ounce due to factors such as central banks diversifying away from the US Dollar, geopolitical instabilities, and growing concerns over rising US deficits, inflation, and possible.
This combination of factors, along with the strong demand for gold from Asian central bankers who have increased their purchasing, has created a bullish market. J.P. Morgan and other forecasts suggest that gold prices could rise to $4,000/oz in mid-2026.
Invezz Given that gold and silver are sensitive to interest rate changes, what impact will the Fed’s decision on rates in 2025 have?
Gold and silver are more expensive when rates drop. This is not always the case. We could expect to see this if another rate cut is coming in the next few weeks.
This is because rising interest rates makes investments like stocks and bonds attractive to investors. Investors will get less returns from these investments when interest rates drop. They may then switch to gold, shares, and stocks.
The price of gold can rise as a result.
Invezz Silver is a volatile metal due to the dual roles it plays as an industrial and investment metal. What impact do US tariffs on solar panels from China have on silver demand?
If China reduces production due to reduced US demand, the US tariffs may have a slight impact on the demand for silver.
The increased tariffs may have cost more for US consumers to purchase products but they are not more costly for China to manufacture them. Only if there is a reduction in demand, will it be more expensive to make the goods.
Over the long term they may be able to sustain, or even increase, the use of silver, particularly with the US having recently promoted silver as a “Critical Mineral” – an initiative that would likely boost investment and industrial demands.
Central bank demand
Invezz: It is predicted that central banks will buy 900 tons of gold by 2025. What impact does this change, particularly in Asia, have on the long-term stability of gold prices?
The projected central bank purchases of gold in 2025 will contribute to price stability over the long term by stabilizing demand and diversifying away from US dollars. It also acts as an asset that is a flight-to-safety amid geopolitical, economic and political uncertainty.
The central bank demand for gold has propelled the price to new highs. This is considered a structural factor, rather than one that reflects cyclical fluctuations. It could support a higher and more stable price level.
Invezz Invezz: US Tariffs raise inflation concerns with possible consumer price increases. What will happen to gold and silver when the stagflationary climate returns?
Gold and silver will likely perform as well in the face of economic uncertainty. This is what they do traditionally.
The tariffs can lead to higher prices which in turn will weaken the purchasing power of consumers and encourage central banks to lower rates. This further boosts gold’s appeal.
Silver is a complex metal
Invezz : What are the opportunities for silver investors when tariff disputes cause price fluctuations to be more complex than those of gold?
Silver’s price is more volatile than gold in times of economic uncertainty. This includes tariffs. It’s a valuable metal, like gold, and an important industrial product. Its price is sensitive to safe haven demand as well as industrial economic conditions.
Tariff disputes cause uncertainty in the demand for industrial silver (used for electronics, solar panel, and electric vehicle) while simultaneously driving safe-haven demands.
Silver is used both in industries and as an investment. Due to this dual use, demand fluctuates, making investors uncertain whether they should focus on the industrial uses or the asset like gold.
Silver’s biggest price can be tracked by keeping an eye on both macroeconomic and trade news.
Asian demand
Invezz : How will India’s Wedding Season and China’s Lunar New Year interact with tariffs and rate uncertainty in 2025.
Gold consumption in India is driven by the wedding season, which runs typically from November through May. The wedding season is quieter from mid-December through mid-January, but the demand for gold remains steady.
Gold is traded in Asia during the Chinese New Year, and other festivals such as Diwali, which are celebrated by Indians, to mark important occasions like weddings or for lucky charms.
We will always see seasonal patterns in buying, regardless of the tariff rates and uncertainties.
We faced an uncertain period early this year with Trump’s Tariffs, but China’s Holiday Gold continued. Prices were higher.
Portfolio management
Invezz, finally you’ve spoken of gold as an investment for the long term. How much gold should investors hold? How much silver is ideal to have?
There is no ideal percentage, but for investors who want to use gold as an asset of safety in times of economic uncertainty, the common recommendation ranges between 5%-10%.
The allocation offers a safety-net, increasing risk adjusted returns as well as a hedge for economic downturns.
This also helps to improve the balance of risk and reward without investing too much in one investment type that could fail.
The following post: Interview: Rick Kanda, The Gold Bullion Company says that during an economic crisis you should invest between 5-10% in your portfolios of gold. This may change as new information is revealed
