Q&A: APMEX CEO discusses gold price spike - 405 Magazine

Q&A: APMEX CEO discusses gold price spike

Ken Lewis, CEO of APMEX, an OKC-based precious metals retailer, talks about what is making gold prices soar.

Uncertainty over the economic effects of Russia’s invasion of Ukraine and rising inflation are causing the price of gold to spike.

More investors are putting their money into precious metals, and this week the price for an ounce of gold shot over $2,000 for the first time since August 2020, said Ken Lewis, CEO of APMEX, a gold and precious metals online retailer.

Oklahoma City-based APMEX, which has sold more than $14 billion in precious metals, is one of the largest internet retailers for gold and silver.

“Many investors realize precious metals can diversify their portfolio and help them weather tough times, but they don’t know where to start,” Lewis said. “We offer a wide variety of options, including coins and bullion, so we can help investors whether this is their first time working with gold and silver, or if they are experienced traders taking advantage of the market conditions.”

Lewis answers some questions about the precious metals markets and in impact from the conflict in Ukraine.

Where do you expect gold to go from here?
Demand for metals skyrocketed here with the news in Ukraine. Gold has a good run ahead of itself. Some are predicting higher, and some are saying lower. But when equities face resistant, gold and silver tend to do very well. The point is, I can’t tell you if gold and silver are going to go up, but you’d be silly to not have it part of your portfolio.

Why are gold prices impacted by international instability?
Geopolitical events can have big impact on the price of metals. There is more demand in gold in international places than in the U.S. It’s a worldwide product, and a lot of times people view it as a safe haven investment. Companies with presence in Russia right now aren’t doing well right now. Government instability like that and trade wars kick in and the costs associated with that. Oil process drive up pump prices, and gold seems to be much more stable. Gold being around for thousands of years makes it a very safe investment.

What should investors know about the rise in prices and uncertainty in the gold market?
I think the biggest thing in we’ve gotten spoiled with how the equities markets have done and we now need to be taken alternative actions with our investments.

For those that have 40-50 years you have time. But if you have 10 years until retirement you need to be thinking about how you diversify and how you protect what you’ve earned. Look at house prices and what they’ve done. How long can that continue? Do you want all your money tied up in real estate right now? Start to diversify into other options to play it safe.