The term 'risk aversion' may sound a bit koda, but in fact, it simply means that people think the market is not very stable and want to find a safe place to hide. That's why gold, like a sturdy golden nest, has become a safe haven for everyone.

As the saying goes, 'gold comes in chaos', and this is not a joke! What this means is that when the world is not peaceful, such as during wars or economic crises, people get anxious and invest their funds in gold, causing the price of gold to skyrocket. Why? Because gold is a 'hard currency' that is always valuable no matter how the world changes. So, as soon as people feel uneasy, they invest their funds in gold, causing the price of gold to rise sharply.

For example, in 2019, amid escalating global trade tensions, gold prices soared. After the outbreak of the COVID-19 pandemic in 2020, gold prices rose rapidly, reaching a high of over $2,000 per ounce. By 2023, increasing geopolitical events and market uncertainty increased the demand for gold as a safe haven, thus pushing up its price. These are the benefits of risk aversion.