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<p>[QUOTE=&quot;Juan Blanco, post: 1656723, member: 41665&quot;]Bank of Korea boosts Au reserves 24% in 1 month (well, they didn&#039;t have much <i>before: </i>ranked #36)<a href="http://www.bloomberg.com/news/2013-03-05/bank-of-korea-boosts-gold-reserves-as-central-banks-buy.html" target="_blank" class="externalLink ProxyLink" data-proxy-href="http://www.bloomberg.com/news/2013-03-05/bank-of-korea-boosts-gold-reserves-as-central-banks-buy.html" rel="nofollow"></a></p><p><a href="http://www.bloomberg.com/news/2013-03-05/bank-of-korea-boosts-gold-reserves-as-central-banks-buy.html" target="_blank" class="externalLink ProxyLink" data-proxy-href="http://www.bloomberg.com/news/2013-03-05/bank-of-korea-boosts-gold-reserves-as-central-banks-buy.html" rel="nofollow">http://www.bloomberg.com/news/2013-03-05/bank-of-korea-boosts-gold-reserves-as-central-banks-buy.html</a></p><p><br /></p><p>I think it&#039;s interesting that a major CB added significantly (20 metric tonnes) when Gold was under $1650. To my thinking, this represents a kind of floor of institutional demand: POG 1550-1700 and CBs add ~20%. </p><p><br /></p><p>For retail Au holders decisively looking for signals to add to their stash, this suggests disciplined BUYING at the towards Low-End breakpoints, <i>dollar-cost averaging </i>such dips: </p><p><br /></p><p>POG under 1600, cautiously incremental (1-2% portfolio assets &gt; Au bullion)</p><p>POG under 1500, moderately shifting (3-4% portfolio assets &gt; Au bullion)</p><p>POG under 1400, assertively reallocating (4-6% portfolio assets &gt; Au bullion)</p><p><br /></p><p>These future price-targets may not be met and Au hasn&#039;t been at/below 1400 since Late February 2011, two years ago. </p><p><br /></p><p>I don&#039;t presume to know what overall PM allocation suits anyone&#039;s risk-tolerance but following the CBs gold-hoarding cannot be called &#039;wild &amp;reckless.&#039; It&#039;s a conservative, value-buying discipline and methodical focus. </p><p><br /></p><p>Bear in mind, the overall %age of PMs in a CBs &quot;portfolio&quot; may be very small... but they can always print money &amp; we cannot.&nbsp; Bullion is the hedge against depreciating (more &amp; more) Paper, a prudent alternative and diversification in times like these.</p><p><br /></p><p>As unallocated Gold becomes more costly, the &#039;balance sheet Gold&#039; will start disappearing?&nbsp; Hmmmm...</p><p><a href="http://www.thenational.ae/thenationalconversation/industry-insights/economics/rising-demand-for-dubais-gold-vaults" target="_blank" class="externalLink ProxyLink" data-proxy-href="http://www.thenational.ae/thenationalconversation/industry-insights/economics/rising-demand-for-dubais-gold-vaults" rel="nofollow">http://www.thenational.ae/thenationalconversation/industry-insights/economics/rising-demand-for-dubais-gold-vaults</a>[/QUOTE]</p><p><br /></p>

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