Schroders Turns Bullish on Gold Amid Central Bank Support

Schroders, a UK-headquartered wealth and investment firm, has upgraded its view on gold due to supportive central bank purchases. The firm believes that continued central bank buying will support gold prices over the medium term, despite the metal's recent sharp rally.

Schroders maintains a constructive stance across its portfolio, particularly towards equities, citing resilient global growth and corporate earnings as the foundation for this positioning. However, it acknowledges that high valuations in artificial intelligence stocks, elevated leverage, and heavy market concentration are reasons for caution.

The firm has reinforced its preference for technology stocks and widened its German equity holdings, leaning into industrial and defence names within that market. Schroders also retains exposure to natural resources through global mining companies and energy producers.