Precious metals—particularly gold and silver—have long supported portfolio diversification and long-term wealth, helping reduce overall volatility and risk. This makes them especially relevant for Australian superannuation and SMSF investors.
They combine strong long-term returns (with gold and silver delivering around 11% and 9% per annum respectively over the past 20 years) with resilience in periods of low real interest rates and high inflation, where gold has historically risen sharply and silver often outperforms. Highly liquid and globally traded, they are easy to buy and sell.
These attributes have driven growing SMSF investment since the early 2000s, as investors seek to balance portfolios often exposed to equities, property, and fixed income—while cash delivers limited real returns after inflation. Demand has been further supported by post-GFC and post-pandemic conditions, rising debt levels, persistent inflation, and ongoing geopolitical tensions, all reinforcing the role of precious metals as a safe haven.
These factors are explored in detail in our ABC Bullion SMSF Investment Guide.