The common consensus among the Bank of England and economists is that the UK is heading for a period of extended inflation up to 2012/2013, and savvy investors are looking for alternative assets that are proved to grow in value quicker than inflation rises, effectively hedging inflation as part of their overall investment strategy.
These inflation investments should be designed to provide income and preserve capital at a time when short term market visibility is at an all time low, and quantitative easing programmes combined with low interest rates start to squeeze the value out of cash as inflation rises.
Historically investors looking for an inflation rate singapore have turned to Gold, seeing the precious metal as a safe investment that will hold its value, even in uncertain economic times. The value of gold is a market led by supply and demand, there is only a finite amount of gold on the market, and as demand rises, so too does the price per ounce.