Gold, silver and platinum shine as 2025 ends, with forecasts for 2026

Gold, silver and platinum have been standout performers this year, attracting a wave of demand from investors seeking safer havens as global markets navigate geopolitical tensions and shifting currency dynamics. Analysts say the rally could extend into 2026 and beyond, supported by central-bank appetite for bullion and structural bids for rustproof storeholds against the dollar’s dominance. The slowdown in the transition to electric vehicles has also helped keep platinum in the spotlight, given its key role in catalytic converters for petrol and hybrid cars.

Since the start of the year, gold has surged about 60% to around $4,321 an ounce, rebounding from a dip in October. Silver has delivered a parabolic leap, rising about 121% to roughly $63 per ounce, underpinned by a supply crunch. In the mining space, Fresnillo, a FTSE 100 member that mines both silver and gold, has seen its shares jump about 379% since year‑start. Platinum has climbed roughly 104% to around $1,913 an ounce, driven by shortages and its use in catalytic converters and other automotive components as demand for traditional engines persists longer than previously anticipated.

The metals’ ascent has been reinforced by inflows into gold exchange-traded funds, with investors worldwide pouring about £396 billion into gold ETFs. Central banks, meanwhile, have continued to accumulate bullion, building up about £3.7 trillion in gold reserves. This shift has helped bullion outperform traditional havens like U.S. Treasuries at times of heightened geopolitical risk, as policy makers and funds seek diversification away from the dollar. The United States holds approximately 4,583 metric tonnes of gold in Fort Knox, while nations such as Poland, Kazakhstan and China have been active buyers this year. As de-dollarisation accelerates, entities like Madagascar, Serbia and South Korea are joining the trend by expanding their bullion holdings or reallocating portfolios.

The bullion rally has prompted some analysts to view gold as an under‑owned asset, capable of further gains if tensions persist in Europe and the Middle East. Goldman Sachs has projected a potential price target of up to $4,900 per ounce in 2026, suggesting gold could still make meaningful moves higher even after a pronounced rally. The bank’s outlook sits alongside a broader debate about the sustainability of gold’s recent rise and whether a pullback could accompany a shift in risk sentiment or changes to inflation expectations.

The push into gold and other precious metals has not been without warnings. The Bank for International Settlements has issued an alert about the outlook for gold, arguing that much of the price strength has been driven by speculative buying and fear of missing out, rather than by fundamental demand. Still, many investors view these metals as a hedge against inflation and as ballast in a diversified portfolio. Ray Dalio, the founder of Bridgewater Associates, has publicly recommended allocating as much as 15% of a portfolio to gold, while many UK wealth managers advise smaller, yet meaningful, allocations in the 4%–5% range.

Silver, long dubbed the “forgotten asset,” has increasingly been described as the “new gold” by market observers, with some forecasters pointing to a potential $100 price level next year if demand remains robust. Much of silver’s allure comes from its broader industrial use: it is a critical component in electronics, semiconductors powering the artificial intelligence revolution, and solar panels, alongside monetary and jewelry applications. The Saudi central bank’s foray into silver funds—taking stakes in the iShares Physical Silver and the Global X Silver Miners funds—highlights a new layer of official interest in silver as a strategic reserve alongside gold. Platinum’s bid is anchored in its traditional use in catalytic converters and engine components; with EV adoption slower than initially anticipated, the metal’s role in emissions control remains essential and may support prices if supply remains tight.

Investors weighing how to access these metals have several options. Physical ownership remains possible through bars and coins from established suppliers, including the Royal Mint or traders like Sharps Pixley. However, the costs of delivery, insurance and secure storage can offset some advantages of physical metal ownership. For many, exchange-traded products backed by physical metal offer a cost-efficient path. Investors can consider the Invesco Physical Gold, Invesco Physical Silver, WisdomTree Core Physical Silver and Invesco Physical Platinum funds. Gold mining shares offer another route, though they tend to amplify gains and losses with metal prices. Newmont, the world’s largest gold producer, has seen its shares rise about 165% this year to around $102, supported by a new leadership that analysts believe can deliver superior returns. Barrick Gold is also viewed positively by some evaluators, though its stock has recently slipped about 4% to around $45. Fresnillo, by contrast, is seen as a more uncertain bet and is rated a hold by some brokers.

For investors seeking a diversified approach, funds can be a compelling choice. Jupiter Gold & Silver and Ninety-One Global Gold have emerged as popular picks among wealth advisers, with some portfolios showing double-digit gains this year. In a personal note, one market observer who highlighted gold earlier in the year said they have since added silver and platinum funds to their holdings, reflecting a belief that a balanced basket can capitalize on continued demand and potential reprice of gold in 2026.

Investors should be mindful that the path for precious metals is not guaranteed. While the current environment supports price appreciation for gold, silver and platinum, near-term risks include a correction if geopolitical tensions ease, inflation rules shift, or the dollar strengthens again. The debate over whether precious metals offer immediate income remains unresolved, as they historically rely on price appreciation rather than yield. Yet the case for allocating a portion of a diversified portfolio to these metals remains compelling for many, given the scale of central-bank purchases, the ongoing de-dollarisation trend and the structural demand from industry and technology sectors.

As this year ends and 2026 approaches, market participants will likely weigh the balance of gold’s safety premium against the possibility of a correction, while silver and platinum continue to attract attention for their industrial and environmental roles. The evolving mix of reserve holdings, currency dynamics and industrial demand will shape how these metals perform in the near term and how investors choose to position themselves for potential new highs in the coming years.

In the meantime, the practical question for many individuals remains: how to add shine to a portfolio without taking on outsized risk. For some, a straightforward approach may be to blend physical exposure with strategically chosen ETFs and select mining equities, while others may prefer a diversified fund that includes exposure to multiple metals and producers. Regardless of the chosen route, investors should conduct thorough due diligence, consider costs and liquidity, and maintain realistic expectations about the timing and magnitude of potential gains. The confluence of capital flows into bullion, central-bank demand and continued, albeit uneven, demand from industry suggests a continued period of high interest in precious metals for those seeking safety and optionality in a volatile macro environment.

As the year closes, the narrative around gold, silver and platinum remains nuanced: they offer diversification and a hedge against risk, but they are not immune to cycles in demand, policy shifts and macroeconomic shifts. The coming years will reveal whether the current multi-year trend translates into sustained gains or if price corrections will temper the exuberance that has defined 2025.