MTS Gold Advocates Dollar Cost Averaging Amid Global Gold Market Volatility

Bangkok: MTS Gold is recommending a dollar-cost averaging (DCA) strategy for long-term gold accumulation as global market volatility continues to impact gold investments. The CEO of MTS Gold emphasizes gold as a key alternative asset for long-term investment, citing its potential for inflation protection and portfolio diversification. He suggests that investors opt for gold savings over gold futures due to the latter's susceptibility to leveraged losses. The CEO warns that potential interest rate hikes by the Federal Reserve could exert downward pressure on gold prices, with support levels predicted at $3,600-$3,800 per ounce.

According to Thai News Agency, Dr. Kritcharat Hiranyasiri, Chairman of the Board of Directors of MTS Gold Group, highlighted during a presentation at the 2026 Advanced Economic Journalists' Capacity Building Program that gold's global recognition, liquidity, and ability to preserve wealth make it a compelling choice for investors. He noted that while gold offers moderate returns compared to higher-risk assets like stocks, its lower risk profile makes it ideal for portfolio diversification.

Dr. Kritcharat stressed that losses in gold investments often stem from leveraged financial instruments such as gold futures or margin trading, which can magnify both gains and losses. He advised that gold futures are more suited for short-term speculation, whereas DCA is recommended for those looking to accumulate wealth over time, reducing exposure to price volatility.

The presentation also pointed out the role of digital technology in transforming gold investment, with new options like online gold trading and gold-referenced tokens emerging. Dr. Kritcharat emphasized that despite geopolitical and economic uncertainties, gold continues to be a vital component of long-term investment portfolios, offering wealth preservation and risk diversification.

He also discussed the impact of global events such as the Russia-Ukraine war on gold investment trends, noting that central banks have increased their gold holdings to mitigate risks associated with foreign currencies. However, he cautioned that recent tensions in the Middle East and potential interest rate hikes by the US Federal Reserve could lead to negative returns for gold this year.

Additionally, the gold market in Thailand faces challenges from regulatory measures by the Bank of Thailand aimed at controlling gold trading and addressing currency appreciation and money laundering concerns. These measures, coupled with potential government taxes on gold trading, have led to a significant drop in online trading volumes and could affect Thailand's competitiveness in the gold market.