Ronald Stoeferle, managing partner at Incrementum, an independent fund and asset management company, is bullish on the future of both gold and Bitcoin. In his latest report, “In Gold We Trust,” he predicts a new era for gold, emphasizing its potential as a hedge against inflation and economic uncertainty. Stoeferle also sees a similarly positive outlook for Bitcoin.
He argues that gold is entering a “new playbook” phase, where emerging market demand and central bank purchases are now the primary drivers of the market. This shift away from traditional Western financial investors could lead to a sustained rise in gold prices. Additionally, he notes that gold has defied historical patterns by performing well despite rising real interest rates.
Stoeferle believes that inflation will remain a significant factor for investors, despite recent moderation. He suggests that a new “60/40” portfolio allocation strategy is needed to adapt to the changing economic landscape and potential inflationary pressures. This strategy would allocate 45% to stocks, 15% to bonds, 15% to “safe haven” gold, 10% to “performance gold” (including silver and mining stocks), 10% to commodities, and 5% to Bitcoin.
He also highlights the potential for gold as a safe haven asset as the U.S. debt service costs are predicted to reach $1.5 trillion in 2025, potentially surpassing defense spending. This scenario could lead to a reassessment of traditional investment strategies, further increasing the appeal of gold.
Stoeferle acknowledges the similarities between gold and Bitcoin, noting their scarcity and potential as alternative assets. He states, “I’m super super bullish on both assets.” He also expresses cautious optimism about silver, citing potential demand from the solar industry but warning that it may underperform during the early stages of a recession.
The influence of Bitcoin as an institutional asset class is expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on November 19.
