The Debasement Trade is the new buzzword in town. As recently as last Thursday, legendary investor Ray Dalio and founder of Bridgwater associates, one of the world’s largest and most-famous hedge funds, termed gold as the “safest money.” A month ago, he had also explained why current times are like the early 1970s and investors must hold more gold than usual. Morgan Stanley’s CIO Mike Wilson also said a month ago that he now prefers a portfolio allocation of 60 (equities)/20 (fixed income) / 20 (gold) portfolio versus the long-established 60/40 portfolio of 60 per cent in equities and 40 per cent in fixed income. He terms gold as the “anti-fragile asset to own, rather than Treasuries.” The list goes on.

And all these shifts in views are playing out after gold has already been the outperfo

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