By Miles Pennington, Senior Correspondent
In 2025, escalating economic uncertainty and fears of a looming debt crisis are driving a significant surge in gold investments among both seasoned investors and the general public. Prominent investor Marc Faber, known as “Dr. Doom,” has long advocated for buying gold, citing persistent concerns such as hyperinflation, asset price declines, and geopolitical instability.
The World Gold Council reports a 13% year-over-year increase in global demand for gold bars in Q1 2025, reaching 257 metric tons. This marks one of the highest first-quarter demand figures in nearly a decade, reflecting a broader shift in investor behavior toward tangible and secure assets. Financial analysts suggest this surge is more than a passing trend—it is a sign of a deep-rooted need to protect wealth against growing economic instability.
Gold’s Resurgence in 2025
Gold has experienced a dramatic rally in 2025, with prices climbing over 25% year-to-date. This performance has surpassed traditional investment benchmarks such as the S&P 500, which has seen a modest decline due to economic headwinds. Key factors influencing the rise include heightened inflationary pressures, slowing global growth, and increased government debt levels.
These challenges have prompted a return to tried-and-true safe havens. For many, gold represents a hedge not only against inflation but also against broader systemic risks—ranging from market volatility to geopolitical flashpoints.
Changing Investor Behavior
Marc Faber continues to be a vocal proponent of gold, emphasizing its value in portfolios during uncertain times. He has reiterated that a significant portion of his personal investments remains in physical gold, a stance increasingly echoed by his clients. According to his observations, more investors are moving away from paper assets and into hard commodities.
Private gold investment firms are also witnessing shifts in behavior. Genesis Gold Group, a company specializing in precious metals, has reported a dramatic rise in interest from retail investors. Where once gold was viewed as a luxury or niche holding, it is now becoming a mainstay for people concerned with preserving purchasing power and preparing for long-term economic shifts.
In response to this, the company has noted that over 70% of their new clients are requesting physical gold delivery—a stark contrast to previous years, when only around 20% preferred tangible gold over financial instruments like ETFs or mining stocks.
The Rise of “Prepper Bars”
One of the most notable innovations in this space is the introduction of “prepper bars.” Created by Genesis Gold Group, these gold bars are specifically designed for flexibility and practical use in barter or trade. Each prepper bar weighs 62.2 grams and can be broken down into 19 individual pieces of varying sizes, making it easier for holders to use them in everyday transactions if needed.
These bars appeal particularly to individuals focused on preparedness and self-reliance. Genesis Gold Group has reported a 20% increase in demand for prepper bars since the beginning of 2025, with interest peaking around politically charged events and announcements of new tariffs.
Jonathan Rose, CEO of Genesis Gold Group, stated that the prepper bar reflects “a modern need for adaptable and practical financial security in a world full of uncertainty.” The concept has resonated strongly, especially with younger investors looking for innovative and customizable financial products.
Market Implications and Outlook
The surge in gold investment is not without implications. Analysts are watching closely to determine whether this trend signals a deeper structural shift in investment priorities. For now, it is clear that traditional financial markets no longer hold the same level of trust for many investors.
While some caution that the gold market could overheat if demand continues at this pace, others argue that gold remains undervalued when accounting for real inflation-adjusted figures and macroeconomic risks. As such, many financial advisors are now recommending at least a small allocation of gold in diversified portfolios.
Beyond individual investors, institutional buyers have also increased their holdings, further strengthening gold’s position in the global financial system. Central banks, particularly in emerging economies, are expanding their reserves to reduce reliance on volatile foreign currencies.
As long as economic and political uncertainty persists, gold appears poised to remain a reliable and attractive asset. The psychological comfort of holding a universally recognized store of value continues to play a powerful role in investor decisions.
