Gold has been in a bull market for nearly a generation, leaving many questioning if it still represents an attractive investment as in the late 1960s or 1990s, wrote Leigh Goehring and Adam Rozencwajg, managing partners, at Goehring & Rozencwajg Natural Resource Market, in the firm’s second quarter commentary report on the gold market.
The writers describe the various valuation frameworks used over many years to estimate gold price targets and determine when to add or reduce gold exposure.
Potential gold investors must ask three questions. First, is gold undervalued today? Second, if gold is undervalued, to what degree? And, third, how high could it go, were it to swing from undervalued to overvalued?
To read the full report, click here.