3 Best Gold Plays for a Volatile 2025

At $2,930 on February 21, gold prices have been up 6.6% over the past 30 days and up 45% over the past year. Gold prices have crested the benchmark $3,000 per-ounce level, reaching $3,100 in mid-February.

That performance outpaces stocks, bonds, and most global currencies as volatility has taken hold of financial markets.

And that’s just the beginning. Wall Street analysts are forecasting even gold will keep rising this year.

Here are the three best ways to play that rise in gold prices.

A case in point – Goldman Sachs recently called gold prices to rise for the remainder of the year, between $3,100 and $3,300, as central bank demand and political instability push golf prices up by 10%.

“Policy uncertainty — including tariff fears — stays high; higher speculative positioning for longer could push gold prices as high as $3,300 an ounce by year-end,” noted Goldman strategist Lina Thomas in a recent research outlook.

Other analysts are in general agreement.

“A more forceful rally relative to our previous expectation is likely to be driven by deep-rooted bullish sentiment, with gold seen as a safe-haven asset amid a highly uncertain and volatile macro environment,” UBS said in a new research note.

Commodity sector insiders are even more bullish, with a $4,000 gold price in the cards.

"The current surge in gold prices and demand underscores the profound uncertainty gripping individual investors and global markets,” said Paul Williams, managing director at Solomon Global, a certified gold and silver bars and coin supplier. "This doesn't look like a short-lived rally —it's a response to entrenched geopolitical tensions, economic fragility, and shifting global power dynamics."

As volatility escalates, gold remains the ultimate hedge, offering stability in an increasingly unpredictable world. "Considering these factors, the $3,000 milestone looks feasible in the next few weeks, and if gold was to make the same gains as it has over the last 12 months, we're looking at $4,250 this time next year," Williams says.

Other gold watchers are pumping the breaks, noting that major global currency movements could tamp commodity prices down in 2025. 

"Gold prices will remain elevated throughout 2025 against the backdrop of increased Central Banks purchases, mounting concerns about disruptive US tariffs and demand from newly introduced gold ETFs," said Peter Smith, senior international equity strategist at Federated Hermes, which regularly tracks gold prices. "Central banks are increasingly moving away from Treasuries as investments for their currency reserves, with China in particular, sitting on a $1 trillion trade surplus in 2024, is aggressively buying gold."

However, gold could weaken if the interest rate differential stays wide between the US and the rest of the world. "This could lead to the dollar remaining strong, which should put downward pressure on gold," Smith says. "This is not our base case, but with inflation sticky in the US, the Federal Reserve has signaled it is willing to keep rates higher for longer."

Three Gold Plays to Make in 2025

So, while the trend remains positive for gold and other commodities (silver, for instance, is up 40% so far in 2025), here’s what sector experts say is the smart play for investors looking to add a yellow hedge to their portfolios.

Gold mining stocks. Stocks of companies that mine gold, such as Newmont (USA), Barrick Gold (Canada), and Freeport McMoRan (USA), offer the opportunity to profit when the metal's price rises, says Julia Khandoshko, CEO of broker Mind Money, a European investment technology and financial engineering hub.

"Investors should note that gold mining stocks can also be risky, so factor that reality into portfolio selection and discuss any trades with a trusted financial advisor," Khandoshko says. "Nevertheless, gold mining stocks can offer better returns than direct investments, especially if the chosen company manages its resources effectively and successfully copes with external challenges."

Gold ETFs. For new investors, spot gold ETFs like SPDR Gold Shares (GLD) can be the easiest and most efficient way to gain exposure to gold, with the larger sector ETFs making the most sense right out of the gate.

Gold ETFs are one of the best options for investing in gold efficiently without the hassle of storing physical bars. "They track the price of gold and are easy to buy and sell, just like a stock," says Chris Heerlein, CEO of REAP Financial, an investment advisory firm based in Austin, Texas. 

GLD has some other features gold fund investors might appreciate.

"In addition to being highly liquid, SPDR Gold Shares has always been my favorite gold ETF for two reasons," said Michael Martin, vice president of market strategy at TradingBlock, a Chicago-based market technology trading company. "First, it holds physical gold as opposed to gold futures, so it doesn't suffer decay in value over time. Second, it has the highest assets under management, at $78.1 billion in net assets." The fund is trading at $270 as of February 21.

Physical gold. If you feel ambitious and want direct control over your gold investment, consider investing in physical gold.

"Buying physical gold is a good move because it's the safest and most reliable, as it eliminates counterparty risk," says Alex Ebkarian, COO and co-founder at California-based Allegiance Gold. "It fits the needs of those looking to preserve wealth, diversify their portfolio, and most importantly want and desire to maintain control of the asset and eliminate counterparty risk and addresses declining trust in paper gold."

Buying physical gold requires having "a mid-to-long term outlook on return on investment, as well as preferring ownership of a physical asset versus exposure to the gold stock or fund sector," Ebkarian added.

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