Nomura Securities' Lu Ting: It is unlikely that the price of gold will continue to rise significantly over the next five years, although it is also unlikely to fall significantly.

Lu Ting said that in order to track the price of gold, it is first necessary to choose a good benchmark. Due to different interest rate levels and difficulties in cross-border capital flows, the benchmarks for gold prices are different domestically and internationally. "To buy gold internationally, the first thing you need to beat is the yield of US Treasury bonds. For example, the yield on the ten-year Treasury bond is around 4.2% now, and the thirty-year yield is around 4.8%. If the annual increase in gold prices is lower than around 4%, then your investment in gold has failed. This is also why we predict that in the next five years, it will be very difficult for gold prices to fall, but sustained large increases are unlikely."