Ma said annual compound returns of gold for the last 100 years have been about 1.7% a year, which is low given ETF costs or storage costs are likely to be higher.
Johnson added: "Once the coronavirus pandemic subsides, investors will likely sell off some of their gold holdings. While there are some 'gold bugs' that will cling to their gold investments, once fear subsides, the price of gold will likely fall," he added. Buying corporate debt usually reduces relative yields and lowers the opportunity cost of holding gold.
He added: "Obviously, there will be pockets of supply disruptions and demand pressures but overall, we do not see inflation a near term problem and therefore do not see a reason to rush into gold."