3 Gold Alternatives Set To Soar Next

Per-ounce gold prices are up $1,000 from a year ago, and defensive-minded investors can be forgiven for balking at the yellow metal's skyrocketing price.

Metals experts cite multiple reasons why gold prices are so high right now. 

"If you step back, it's not surprising that we've seen gold surge by $1,000 per ounce over the past year," said Rana Vig, president and CEO of Blue Lagoon Resources Inc., a Vancouver-based mineral exploration company. "It's a textbook gold rally created by a perfect storm of macroeconomic and geopolitical factors."

Vig said the economy and markets have seen persistent inflation concerns, aggressive central bank buying (especially from countries seeking to reduce U.S. dollar exposure), and ongoing global instability. "Add to that falling confidence in fiat currencies and tariff instability, and you have an environment where gold speculation can thrive."

Given gold’s rapid rise, investors who wish to use metals as a powerful hedge against volatile markets have other options.

It's worth noting that gold prices aren't necessarily out of reach for precious metals investors.

"No doubt, the easy money in this cycle may have already been made," Vig noted. "As for new investors coming in now, the upside will be harder to find without taking on more risk."

One major upside of gold is that it's not just a speculative asset or a hedge for volatility. In many parts of the world, it's a way of life. 

"In countries like India, where gold is deeply woven into the cultural and economic fabric, it's not uncommon for entire villages to pool resources and buy gold by the gram," Vig added. "Even the poorest households will save in gold, not stocks, not bonds because it's tangible, trusted, and borderless."

That level of generational trust in gold continues to anchor demand globally. "For Western investors, there's something to learn from that mindset: Gold isn't just about price, it's about preservation," Vig noted. "It's about holding something real when everything else feels uncertain."

Non-Physical Gold Portfolio Options

Experts say that if current per-ounce gold prices at $3,300 are too high, investors have formidable "Plan B" options in the precious metals market. These metal plays may be your best bets.

Silver

Silver’s price is expected to rise to $40 an ounce within the next six to twelve months, about a 20% increase from current levels.

"This is similar to the projection for gold, and silver and gold tend to move in tandem with each other," said Brett Elliott, marketing director at American Precious Metals Exchange in Urbandale, Iowa. "Silver has a constrained supply, large industrial buyers who will pay virtually any amount to get the silver they need, and growing demand from various sectors."

Additionally, silver rallies tend to follow gold rallies, and gold has been rallying frequently this year. "Just like gold, silver is highly liquid and can be bought and sold in physical form, through ETFs, or through digital silver apps where the metal is vaulted but owned by you," Elliot noted.

Another factor favoring silver is supply and demand. 

"There's a huge silver shortage in the world due to a lack of silver mines, and the demand for silver will continue to be high due to its usage in electric vehicles, electric vertical take-off and landing vehicles, and other electrical appliances," said Sankar Sharma, investing analyst and founder of RiskRewardReturn.com, mentioning iShares Silver Trust SLV. "The best and easiest way to invest in silver is via the iShares Silver Trust, which is trading at an attractive $29.99 entry price as of May 30."

Copper

Copper is another robust metal contender for defense-oriented investors. "It's essential electrification, whether it’s electric vehicles, grid infrastructure, or renewable power," Vig said. "And while copper's global demand is expected to outpace supply over the next decade, its market price, in many ways, still hasn't caught up relative to its fundamental story."

Geography also matters with copper.

"Copper is an excellent base metal to get into as electric utility needs for third world countries are only going to increase over the next 10 to 20 years," said Robert Kientz, operations lead at Kinesis Bullion USA.

Overall, global economies are moving into an expansion cycle, which should fuel demand for copper. "If an investor has a five-year game plan, then copper stocks and miners are likely to move higher," Sharma said. 

Sharma added that good copper stocks to consider include Freeport McMoran FCX, Southern Copper Corporation SCCO, Barrick Mining Corporation B and Rio Tinto Plc RIO.

Zinc

Zinc is an often overlooked precious metal, but it's critical to infrastructure across the globe. "As major economies reinvest in aging roads, bridges, and transport networks, zinc demand will remain strong," Vig said. "At the same time, recent supply disruptions have tightened the market, creating an attractive setup."

He recommends starting with producers like Teck Resources TECK, which offers zinc and copper exposure in a single play. The stock is trading at $37 per share and is down over 8% for the year, suggesting a possible "buy the dip" opportunity.

Gold ETFs

Suppose you're only interested in exposure or short-term trades. In that case, a gold exchange-traded fund can provide a low-cost way of expanding your portfolio and has the added bonus of near-instant liquidity.

There are some caveats, however. "If you're planning to hold gold for a few years or longer, the expense ratio on most gold ETFs is cost inefficient in the long run," Elliot said. "Physical gold often provides a better value for gold longs. You pay the premium once on physical gold, but with an ETF, you pay the expense ratio every year."

It's also ideal to conduct thorough due diligence on gold ETFs.

"Before investing in gold funds, investors must review suitable ETFs to ensure the fund's holdings are purely linked to gold," Sharma said.

The Takeaway On Gold And Its Long-Term Outlook

Near the mid-point of 2025, gold is edging higher for two reasons. 

"We are in a time of geopolitical instability and inflation of the monetary supply," said Blake Mclaughlin, vice president of exploration at Axcap Ventures. "With both scenarios at play, it's no surprise that we have seen the price of gold rise consistently over the last 18 months. Also driving the surge in price are the central banks' continuous and real-time adjustments in gold allocation."

Yet despite an uptick in the price, gold comprises just a fraction of a percent of global investment holdings, noted Mclaughlin. "However, with the release of the US Federal Reserve's May meeting minutes, which flagged rising inflation and risks of recession, gold's appeal as a safe-haven asset is likely to increase and may soon make up a larger portion of investor portfolios."

That's what precious metals with limited capacity can do to drive a portfolio upward. 

"When it comes to gold supply, a tap cannot be turned on to increase supply – it takes years, even decades, to substantially increase it, making a demand spike like the one we are seeing carry significant impacts," Mclaughlin added.

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