Gold offers safe haven

President Donald Trump has continued to fan the flames of a potential global trade war by announcing new import taxes of 25 per cent on cars and car parts coming into the US.

As US President Donald Trump announces baseline tariffs of 10 per cent on all goods coming into the US while taking the maximum rate to more than 50 per cent on imports from some countries, he ended weeks of uncertainty but investors face a whole new world of pain as stock markets plummeted.

Among the first companies to suffer following so-called Liberation Day were the ‘Magnificent Seven’ technology leaders, losing USD760 billion in afterhours trading, meanwhile Japan’s Nikkei was down 2.8 per cent and MSCI’s broadest index of Asia-Pacific shares outside Japan dropped more than 1 per cent.

But as ever during times of economic turmoil, gold is proving a safe haven, and this week we bring you news that the LBMA London Gold Price set a new record hitting USD3120.20 an ounce earlier in the week, only to rise to USD3160 post-Liberation Day.

Adrian Ash, Director of Research, BullionVault, says: "Already the best-performing asset bar none of the 21st Century to date, gold is surging as Trump 2.0 turns what was left of the Western-led world order on its head.

"Trump’s tariff chaos in particular is proving the perfect backdrop for new record gold prices. The precious metal thrives on geopolitical uncertainty, economic stagflation and falling stock markets, and Trump is delivering all three."

But given that almost no one will hold 100 per cent of their allocations in gold, realistically the precious metal provides little in the way of comfort.

On Thursday, European Commission President Ursula von der Leyen warned of "dire consequences" for millions of people as the EU was hit with 20 per cent tariffs, claiming Trump’s policies have brought "complexity and chaos".

This sentiment was echoed by Irish prime minister Micheál Martin who said the tariffs "benefit no one," arguing that they are "bad for the world economy".

Market commentators have been quick to remind investors not to panic and remember their longer-term investment horizons.

Susannah Streeter, Head of Money and Markets at Hargreaves Lansdown, says: "Investors should ensure they are well diversified, without too much concentration on a particular market, and with money spread across different asset classes and geographies. Time in the market and diversification have consistently been the foundations of successful investing strategies. For investors owning quality companies over the long term, big bumps in the road are part of the journey."

Stepping away from Trump and tariffs, we bring you views on the burgeoning semi-liquid fund market from Anish Butani, Managing Director, Infrastructure at Bfinance.

Also known as evergreen funds, these vehicles provide access to private markets for those with smaller reserves who do not want to lock in funds for lengthy periods.

2025 research from Carne Group finds that more than four out of five wealth managers already offer semi-liquid funds, and of those not already offering them, 60 per cent expect to do so in the next six to 12 months while 40 per cent will do so in the next two years.

While semi-liquid funds offer a neat route into private markets, Butani warns that not all funds are made equally, and potential investors need to thoroughly inspect track records, fees and redemption rates before taking the plunge.

Gill Wadsworth, Editor, Institutional Asset Manager

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