Record Year for Precious Metals as Gold and Silver go Mainstream

Precious metal investors have done exceptionally well in 2025—with gold, silver and platinum enjoying one of the strongest calendar years on record.

Since the start of year we have seen all three metals surge, led by silver which has risen by more than 125%, while platinum has risen by 117% and gold is up by almost 65% in USD terms.

The magnitude of the price gains seen across the precious metal spectrum has seen the asset class dramatically outperform traditional assets (including shares, bonds and property) as well as digital assets such as Bitcoin, which fell this year.

The move in precious metals has also made gold front-page news as an investment, with millions of investors worldwide adding precious metals to their portfolio for the first time this year.

What we have seen at ABC Bullion this year

The global surge in precious metal demand is something ABC Bullion has witnessed first-hand while serving our wonderful client base this year—with the period between late September and early November in particular the busiest on record.

Across the course of calendar year 2025 we have seen:

• Record levels of new account creation, both from individual investors as well as family trusts and self-managed superannuation funds.

• Strong support for new products brought to market, including our signature 1-Kilo Eureka Minted Silver Bar, as well as a range of bullion coins from ABC Mint

• A near four-fold increase in clients signing up to our ABC Bullion Gold Saver product, which allows Australians to auto-invest in gold and silver from as little as $50 per month

• The successful launch of the ABC Bullion Gold Decumulation Plan (GDP), an Australian-first investment solution tailored to investors either approaching or already in retirement, which allows clients to access monthly cashflow from their precious metals.

What drove the rally

Much ink has been spilled, and many a word has been spoken, about what exactly has driven the surge in precious metal prices this year.

For some its all about central bank demand. For others, it’s the return to inflows from ETF investors. For others its all about geopolitical risks, while others point to movements in the USD, a Federal Reserve that has begun easing again, and the trouble brewing in sovereign bond markets.

While there is an element of truth to all of the above, it also needs to be noted:

• Central banks have been net buyers for fifteen years now—with over 1,000 tonnes of purchases in each of the past few years—and this not a new story as it relates to gold demand

• Geopolitical risks have been heightened since the Russia invasion of Ukraine, which dates back to 2022

• ETF investors were net sellers of gold from late 2020 to the middle of last year—so while they may have added upside impetus this year, they aren’t responsible for a 60% rally.

• Interest rates have eased in the United States, but for the year as a whole the reduction has been less than 1%—while on the inflation front, core CPI in the United States came in at just 2.6% in the year to end November, running at 3.3% earlier in the year

Equities have also been well supported this year (admittedly with multiples near record levels), with the S&P 500 +15% YTD.

Given this, there has been no mass rotation out of a falling equity market and into gold, with the Bank for International Settlements even writing a piece about how unusual it is to see a dual surge in gold and equities, like we have seen this year.

From our perspective, 2025 marks the year that investing in gold and silver was normalised. Up until this year, gold was seen by some as a macro trade (buy it if you think the US dollar or interest rates will fall)—while many others were happy to ignore it, given the lack of income it and other precious metals generate.

That changed this year, with every day seeing more and more mainstream investors realising that it makes sense to hold gold as part of a portfolio—a regime change in investor mindsets that even saw Morgan Stanley CIO Mike Wilson openly discuss the merits of holding 20% of a portfolio in gold.

What happens next year?

Precious metal investors have good reason to look toward 2026 with optimism, with JP Morgan expecting gold prices to push toward USD $5,000oz by this time next year, with the potential for prices to hit USD $6,000oz long-term.

While periods of consolidation after the kind of price surge we have seen this year are normal and healthy, there is little reason to expect we are approaching the end of this secular bull market that dates back to the early 2000s.

From a technical perspective, both gold and silver have broken out of multi-decade trading channels, with prices that were once seen as impossible ceilings now looking like impregnable floors.

From an investor flow perspective, there is still vastly more money that could be reallocated from traditional investments into precious metals, vs the potential for money to flow out of precious metals and back into traditional investments. This was something that Goldman Sachs recently commented on, with a research note highlighting the fact that just 0.17% of US financial portfolios is allocated to gold. In their words, “A microscopic slice of the roughly USD $112 trillion Americans hold in stocks and bonds.”

From a reserve asset perspective, there is little chance central banks will adjust course next year. By this we mean that on a net basis, they are likely to continue buying several hundred—if not more than a thousand—tonnes of gold again, a significant volume when one considers there is barely 3,500 tonnes of newly mined gold produced globally each year.

Fundamentals from a physical supply perspective also remain positive, with silver now several years into deficit, a situation that is unlikely to change soon given constant new sources of demand, and a mine profile that sees silver largely produced as a by-product of base metal mines.

Finally, there are geopolitical risks which are unlikely to meaningfully abate, while the threat of higher inflation, lower interest rates, and the potential for a sizeable pullback in equity markets given stretched valuations (especially in the United States) are all factors investors will need to navigate in 2026.

Combined, they will likely see many investors continue to gravitate towards safe-haven assets, of which gold and silver have no peer.

This will be the last weekly Market Update from our team for 2025. Until next time, wishing you and your loved ones a Merry Christmas and a Happy New Year from the entire team at ABC Bullion.

Thank you for choosing ABC Bullion.

Jordan Eliseo
General Manager, ABC Bullion

Luke Tyler
Analyst ‑ Market & Business Intelligence, ABC Bullion

^{Disclaimer: This document has been prepared by Australian Bullion Company (NSW) Pty Limited (ABN 82 002 858 602) (ABC). The information contained in this document or internet related link (collectively, Document) is of a general nature and is provided for information purposes only. It is not intended to constitute advice, nor to influence any person in making a decision in relation to any precious metal or related product. To the extent that any advice is provided in this Document, it is general advice only and has been prepared without taking into account your objectives, financial situation or needs (your Personal Circumstances). Before acting on any such general advice, we recommend that you obtain professional advice and consider the appropriateness of the advice having regard to your Personal Circumstances. If the advice relates to the acquisition, or possible acquisition of any precious metal or related product, you should obtain independent professional advice before making any decision about whether to acquire it. Although the information and opinions contained in this document are based on sources, we believe to be reliable, to the extent permitted by law, ABC and its associated entities do not warrant, represent or guarantee, expressly or impliedly, that the information contained in this document is accurate, complete, reliable or current. The information is subject to change without notice, and we are under no obligation to update it. Past performance is not a reliable indicator of future performance. If you intend to rely on the information, you should independently verify and assess the accuracy and completeness and obtain professional advice regarding its suitability for your Personal Circumstances. To the extent possible, ABC, its associated entities, and any of its or their officers, employees and agents accepts no liability for any loss or damage relating to any use or reliance on the information in this document. It is intended for the use of ABC clients and may not be distributed or reproduced without consent. © Australian Bullion Company (NSW) Pty Limited 2020.}