Billionaires are getting behind the rally in gold

What they're saying: "You would probably have something like 15% of your portfolio in gold, because it is one asset that does very well when the typical parts of the portfolio go down," Bridgewater Associates founder Ray Dalio said at a conference in Greenwich, Connecticut, CNBC reported.

• "I'd want to have a combination of gold, crypto, probably the Nasdaq," hedge fund manager Paul Tudor Jones told CNBC, adding that he sees longevity in these trades heading into next year.
• Citadel founder Ken Griffin voiced concern about the flight to gold in an interview with Bloomberg. "We're seeing substantial asset inflation away from the dollar as people are looking for ways to effectively de-dollarize or de-risk their portfolios vis-a-vis U.S. sovereign risk," he said.

Zoom out: It's not just the billionaires betting big on gold.

• Goldman Sachs raised its end of 2026 price target on gold to $4,900, citing western ETF inflows and central bank buying as sticky factors.
• Mike Wilson, chief U.S. equity strategist with Morgan Stanley, said that instead of the conventional portfolio of 60% in stocks and 40% in bonds, investors should be 60/20/20, with 20% of a portfolio allocated to gold.

Yes, but: "Everybody's bullish on gold," Joe Tigay, a portfolio manager with Rational Equity Armor Fund and Catalyst Hedged Equity Fund, tells Axios. That "seems closer to an end of cycle rally" than AI, given that gold buyers seem more uniformly optimistic than tech investors, he says.

• RBC notes the recent gold surge is "quickly becoming overbought short-term with a pullback likely in the coming weeks."

The bottom line: "This is a trend that's going to feed on itself," Rob Haworth, commodities strategist at U.S. Bank, tells Axios, adding that billionaires may be using gold to hedge risk rather than to generate alpha.