Jordan Low

In 2008, precious metal prices recovered very quickly from the initial negative price action; gold has now surged to new all-time highs by mid-May — in over 72 global currencies including SGD. Is it time to revisit investing in precious metals?

- Marc Almagro

The price moves of precious metals have been largely expected, and have mirrored the price action of the early stages of the global financial crisis in 2008: namely, the impact of the margin call events triggered by the substantial falls in the stock markets at the time, explains Mr. David J Mitchell, Founder and Partner at Indigo Precious Metals (IPM). “This price action is extremely positive. It also clearly reinforces that the current global ‘insolvency crisis’ requires a considerable revaluation in precious metals moving forward over the next few years.”

IPM trades in the physical precious metals business and primarily focuses on the supply and physical delivery of investment-grade precious metals — gold and silver bars or coins, as well as platinum, palladium and rhodium bars — to international clients comprising private individuals, institutional investors, financial advisors, and family trusts. The company is registered and has a presence in Singapore, Malaysia and Singapore..

Mr. Mitchell’s passion for market analysis got him to senior managerial roles early on in his career. His past titles include Head of Proprietary Trading Europe and Head of Spot Trading Asia-Pacific at HypoVereinsbank AG, Chief Dealer and Manager of the G10 Desk at HSBC, and Chief Dealer of the forex Desk at NationsBank Group Singapore.

Portfolio sat down with Mr. Mitchell to discuss the wisdom of investing in precious metals, given the particularly volatile financial reality.