For a long time the panel of refuge assets was small and well defined, in Swiss Franc and Yen currencies, in raw materials Gold and in the equity market the so-called companies linked to essential products, although the share segment was less used, being only when the risks were of lesser degree and more in a logic of capital rotation. After the dot.com bubble and with the availability of more accessible instruments for the common investor to include Gold in their strategies, such as ETFs, the precious metal benefited from a 10-year bull market that tripled its value, culminating in the September 2011 highs, already close to $ 2,000 per ounce.
Currently, the refuge asset niche scenario has changed in relation to what I have mentioned, and if one part is due to the COVID pandemic another had already occurred at least since 2018, I refer to the use of the US Dollar as a port of security when sentiment deteriorates, that is, despite the fact that the Yen does not enjoy the magnitude of confidence, but the market today seeks the US currency when there are increased signs of danger, even if they include problems in the world’s largest economy. The new entry in this restricted group of asset classes are technological, namely the large technological ones, which have come to be seen as safe places for capital to be invested in the event of a deterioration in the health situation, since they were benefited when quarantined. and they will certainly be much more in the future, as the digital disruption that occurred in a forced way, strengthens in the organizational methodologies of companies all over the world.
