Gold just hit a record high of over $3,500 an ounce, driven by market volatility, inflation concerns, and strong central bank demand. For investors, it’s less about chasing growth and more about stability — gold remains a proven hedge and a valuable piece of a diversified portfolio.
Gold has long been seen as a safe haven – a reliable asset investors lean on when markets feel uncertain.
That role is proving true once again. This week, gold climbed to a new all-time high of over $3,500 per ounce1, supported by steady central bank demand, inflation protection, and its reputation as a store of value through turbulent times.
Here’s why investors are (still) believing in Gold.
Several forces are pushing gold higher:
- Global uncertainty: Concerns over U.S. monetary policy, rising trade tensions, and inflation are driving investors toward safer assets. Just in case.2
- Central bank buying: Countries like China, India, and Turkey continue to stockpile gold, reinforcing its role as a long-term store of value.3
- Weaker dollar & rate cut bets: Investors are anticipating future rate cuts, making non-yielding assets* like gold more attractive.4
*Chip explains: Non-yielding assets are investments that don’t pay you an income while you hold them, so their value comes from the price itself
Why it matters for you
Gold’s latest rally is a strong reminder of why it has held its place in portfolios for centuries. It isn’t about explosive growth or short-term gains – it's about stability, protection, and balance.
In times of uncertainty, gold can act as a hedge against inflation and market swings, helping to smooth out the bumps. Think of gold as the solid foundation that can support your more growth-focused investments.
With prices now* at record highs, the message is clear: gold continues to earn its reputation as a safe haven. For investors, that means confidence that even when markets are unpredictable.
But always remember to take a balanced view. Past performance is not a reliable indicator of future results and the price of gold can go down as well as up.
* Accurate as of 2 September 2025 spot gold price at $3,529.01 per ounce.
How Chip can help you take advantage
At Chip, we offer exchange-traded commodities (ETCs) such as Physical Gold, which gives you a way of tracking the price and performance of the gold price, without the costs and admin of owning physical gold bullion.
If you want to get involved, you can open a Stocks & Shares ISA in minutes. Invest from £1, and manage everything right from our app. Just go to the ‘Invest’ tab to get started.
Source: 1 BBC 2 JP Morgan 3 The National 4 The Economic Times
When investing, your capital is at risk. The value of your investments can go down as well as up and you may get back less than your original investment. Seccl Custody Limited is the ISA Manager for the Chip Stocks and Shares ISA. A monthly or annual ChipX membership is required for certain funds selected within a Stocks and Shares ISA. Fund management charges apply. ISA limits apply. Chip does not provide tax or financial advice. Tax treatment depends on individual circumstances and may be subject to change in the future.
Important to know: When investing, your capital is at risk. The value of your investments can go down as well as up and you may get back less than your original investment.