How Can I Try and Get Over a 10.6% Return on My Money?
10.6% sounds like a lot, right?
But since 2000 the Gold Price has produced an annual average return of over 10.6% (in GBP).
Take a look at these numbers; I know it says 10.9% but given the gold price goes up and down I like to be a little bit conservative….so I’ve gone for over 10.6%. I1t could obviously be higher!
But that’s the past, what about the future?
There are several factors that determine the Gold price….there’s “not one lever”.
Here are four of the key ones. I refer to them as M.I.D.I. an acronym for Market uncertainty, Interest rates, Debt and Inflation. Let’s take a closer look at each of these.
Market uncertainty
Increasing uncertainty tends to lead to a higher gold price. Gold is often viewed as a “Safe haven” asset. In these challenging times, I think there’s plenty of market uncertainty.
Would you agree?
Interest rates
Lower interest rates are often viewed as positive for gold as you’re “giving up” less income (from buying say a Government Bond), by holding physical gold….which obviously does not yield anything.
Debt
As you can see from the chart below, over the longer term, the Gold price (the gold line) has risen as the debt (the red line) has gone up. I’m yet to hear a convincing argument as to why debt will be coming down.
Inflation
Inflation reduces your purchasing power, if inflation increases then people tend to try and protect this. As you can see from the chart below, this is what happened to inflation in the 1970’s and early 1980’s.
Here is a link to the chart if you want more information.
And this chart compares the current bull market with that in the 1970’s. We are currently the red line – the Gold line being what happened in the 1970’s.
So although we don’t know what’s going to happen, it’s not unreasonable to think that Gold could continue to do well.
For more charts on Gold price projections, head to the Gold Projection Page here.
But that’s obviously ALL about the Gold price.
The Gold Program
Imagine if you could make MORE than a 10.6% return from several gold investments….so your return is not ALL about the Gold price.
That’s what the Gold Program tries to do.
Before I get into the Gold Program itself, I want to share a startling fact with you.
Give you ANOTHER reason to think about Gold.
In 1920, it took 305 gold ounces to buy an average home.
Now, in 2025, just 140 gold ounces (LESS than half).
I was shocked by the maths:
1920: New home: $6,300, Gold: $20.67/oz.
2025: New home: $450,000, Gold: $3,225/oz.
I’ve given you TWO reasons why I like Gold…..but how do I invest?
I think it’s important to have a strategy. Invest in a way that’s suitable for you.
That’s where The Gold Program comes in.
How does The Gold Program work?
Rather than just relying on the Gold price, The Gold Program helps you build a diversified portfolio across several investments, which are not ALL about the Gold price.
It follows a Fantasy Football format, so you essentially have several investments that are broken down by risk. The lower risk being the Stadium, with risk increasing thereafter.
This is how it works:
Stadium – Physical Gold
Although all the investment are liquid, I particularly like physical gold because it’s NOT related to the Stock market. If the Stock market tumbles, then I don’t want all of my portfolio exposed to it. If that happens and you need some cash you can sell your physical gold and normally get money in your bank account in a few days.
As I’d view physical gold as lower risk, I’d put more of my capital into it. I think it’s a good way of “parking some cash in gold”.
This is what I would consider to be the lowest risk investment.
Training Ground – Fund
As a fund is a collection of companies, I’d view it as a lower risk investment. Yes, it’s still exposed to the Gold price, but its performance is not ALL about the Gold price. If you want to take lower risk you should also look to have larger producers in the Fund rather than explorers.
The Gold Program not only provides you with a list of funds, but also shows you how to select one that works for you.
Goalkeeper
This is typically a VERY large company with a market value over £20 billion.
Not only is it very large, but it’s multinational and multi-commodity, so it’s not ALL about the Gold price. The price of other commodities could be very relevant.
For each position, The Gold Program provides you with a list of companies to choose from as well as giving you the criteria to base your selections on.
Defenders
Although these are large companies (normally with a market value between £5 billion and £20 billion), they again will often have exposure to other commodities, but they tend to be smaller than the Goalkeepers and are often less multinational
Midfielders
I’d view these as riskier producers, often with a market value between £1 billion and £5 billion. Invariably, they are relatively new to production, but clearly with lots of potential. I’d consider them to be higher risk because they often have not been producing for as long as a defender and perhaps have fewer mines, so they’re more reliant on the performance of certain assets than a Defender.
Forwards
These are the explorers with a market value of less than £1 billion.
Here you can decide what level of risk you’re comfortable with. You may want to look at a company that’s already made a great discovery, but is not yet in production. Or you perhaps want to go for one that hasn’t made any discovery but you like the potential of where they’re exploring.
It's very much down to you.
It’s here that the B.R.I.D.G.E. system that I explain is particularly important when making your selections.
Substitutes
On top of this, you can also have substitutes. You would not start a football match with an empty bench and the same applies to your investments.
There will be players (companies) that underperform and through the match (the investment period), the circumstances could well change, so you need to change your players (companies) accordingly.
I tend to allocate half as much to these companies. Again, The Gold Program guides you through this process.
Is The Gold Program for Me?
You’re probably saying, that’s all very good, but how’s it performed?
Well, let me tell you.
I’ve picked two random portfolios using the strategy and I publish the results each week on my website.
If you’d like to sign up, click here.