Five Reasons to Save in Precious Metals as Gold and Silver Lead Markets Higher
26 October 2025
Precious metal markets have soared in 2025, with gold and silver strongly outperforming traditional investments like shares, property and cash.
This outperformance has made precious metals a favoured portfolio choice amongst Australian investors this year, with clients at ABC Bullion typically incorporating precious metals into their portfolio due to a combination of the below factors.
Strong long-term returns: Gold has risen almost 10% per annum since 2000, increasing from under AUD $500 to over AUD $5,000 per troy ounce, while silver has increased by close to 8% per annum
An alternative to low interest rates: Gold thrives when interest rates fall, particularly relevant given the Reserve Bank of Australia begin a rate-cutting cycle in Q1 2025 and brought rates down to just 3.60% at its August 2025 meeting.
Diversification: Gold helps protect portfolios during volatile markets, with average quarterly returns of 12.5% when the stock market experiences its largest declines.
Inflation protection: Gold performs well during periods of rising consumer prices, with average annual returns exceeding 15% in years when inflation is 3% or higher, while silver has done even better, rising by more than 20% per annum in these periods.
Simplicity and accessibility: Gold and silver are liquid, tangible and easily accessible, allowing all Australians to build and protect wealth.
The ABC Bullion Gold Decumulation Plan (GDP) allows investors to access all the above benefits that precious metals can bring to their portfolio. It also allows investors to generate regular cashflow from their precious metal investments, through programmatic sales of gold and silver back to ABC Bullion.
As an Australian first, GDP has been incredibly well received by our clients since its launch, with investment modelling showing that a $100,000 investment into gold in the year 2000 could have grown to more than $420,000 by June 2025, while generating $153,000 in cashflow over that period.
Jordan Eliseo
General Manager, ABC Bullion
Disclaimer: This document has been prepared by Australian Bullion Company (NSW) Pty Limited (ABN 82 002 858 602) (ABC). The information contained in this document or internet related link (collectively, Document) is of a general nature and is provided for information purposes only. It is not intended to constitute advice, nor to influence any person in making a decision in relation to any precious metal or related product. To the extent that any advice is provided in this Document, it is general advice only and has been prepared without taking into account your objectives, financial situation or needs (your Personal Circumstances). Before acting on any such general advice, we recommend that you obtain professional advice and consider the appropriateness of the advice having regard to your Personal Circumstances. If the advice relates to the acquisition, or possible acquisition of any precious metal or related product, you should obtain independent professional advice before making any decision about whether to acquire it. Although the information and opinions contained in this document are based on sources, we believe to be reliable, to the extent permitted by law, ABC and its associated entities do not warrant, represent or guarantee, expressly or impliedly, that the information contained in this document is accurate, complete, reliable or current. The information is subject to change without notice, and we are under no obligation to update it. Past performance is not a reliable indicator of future performance. If you intend to rely on the information, you should independently verify and assess the accuracy and completeness and obtain professional advice regarding its suitability for your Personal Circumstances. To the extent possible, ABC, its associated entities, and any of its or their officers, employees and agents accepts no liability for any loss or damage relating to any use or reliance on the information in this document. It is intended for the use of ABC clients and may not be distributed or reproduced without consent. © Australian Bullion Company (NSW) Pty Limited 2020.