Axel Merk, President and CEO of Merk Investments, joins Jane King in a conversation about tariffs and trade and how gold and gold mining fit into the current equation. He said President Trump’s efforts to balance trade are acting as a “wrench thrown into the global financial system,” thereby distorting U.S. influence and impacting financial flows. Prices for gold are rising now because the world is becoming less efficient and making everything more expensive, Merk emphasized. “Investors realize that this is going to be a very rough road,” he added, emphasizing that this is not just volatility shock, but a “profound” retooling of the economy. Merk also discussed ASA Gold and Precious Metals Limited, a professionally managed, diversified precious minerals closed-end investment company with the NYSE ticker symbol ASA.
Axel Merk on Tariffs, Trade, and Gold
Disclosure: Views and opinions expressed are for informational and educational purposes only as of the date of production/writing/speaking and may change without notice at any time based on a multitude of factors. Speaker’s/presenter’s/author’s opinions are their own and may not necessarily represent the opinions of AICA, its Board, or its staff. Materials may contain “forward-looking” information that is not purely historical in nature, such as projections, forecasts, market return estimates, proposed or expected portfolio composition, and other items. Listed closed-end funds and business development companies trade on exchanges at prices that may be above or below their NAVs. There is no guarantee that an investor will be able to sell shares at a price greater than or equal to the purchase price or that a closed-end fund’s discount will narrow. Non-listed closed-end funds and business development companies do not offer investors daily liquidity but rather offer liquidity on a monthly, quarterly or semi-annual basis, often on a small percentage of shares. Closed-end funds often use leverage, which can increase the fund’s volatility (i.e., risk). Actual distribution amounts may vary with fund performance and other conditions. Past performance is no guarantee of future results. This material is not intended to be a recommendation or investment advice, does not constitute a solicitation to buy, sell or hold a security or an investment strategy, and is not provided in a fiduciary capacity. Shares of closed-end funds are subject to investment risks, including the possible loss of principal invested. Closed-end funds frequently trade at a discount to their net asset value (NAV).