JPMorgan Sees Gold Reaching $5,000 an Ounce by Q4 Amid Elevated Market Risk

JPMorgan Chase believes gold will reach $5,000 an ounce by Q4 of this year. This prediction is not idle, as it comes from a bank that has listed several risks facing investors. CEO Jamie Dimon likened these risks to tectonic plates and warned that their collision could cause significant damage.

The obvious ways to buy gold include purchasing jewelry or gold bullion. However, both of these options come with high markups and limited growth potential.

A better way to invest in gold is through a streaming and royalty company such as Franco-Nevada (FNV), Royal Gold (RGLD), or Wheaton Precious Metals (WPM). These companies provide capital to miners in exchange for the right to buy gold at a reduced price in the future.

JPMorgan's prediction is not an isolated incident, and it comes on the heels of the bank's second-quarter earnings report. Dimon's warning highlights the elevated risk level in the market, particularly given the stock market's proximity to all-time highs.