Kevin O’Leary says one of his best investments isn’t tied to an exciting start-up or a breakthrough product. It’s actually something simple that anyone can purchase.
Despite his preference for dividend-paying investments, Mr. Wonderful recently shared on Instagram that “People always ask me about my best investments and everyone is always surprised when I tell them that gold is one of my top investments of all time.”
Kevin O’Leary’s Wealth Stabilizer
Coming from O’Leary, it almost feels unexpected. He’s known for betting on fresh ideas, unusual products, and companies that turn quick profits. Gold sits in a completely different category. It’s been a trusted way to protect money for thousands of years, long before modern investing even existed.
Kevin explained his affinity for gold, saying, “I like gold because in a way it’s a stabilizer, it’s an insurance policy. I’ve owned gold for decades, and gold is popular for a whole host of reasons. It’s worked for me in portfolio management. It’s the only security I own that doesn’t pay a dividend.”
Gold does not yield like a stock that hands out dividends. It holds a steady kind of trust that few assets can match. Its supply can’t be boosted by central banks, which gives it natural protection when inflation picks up. It also has a reputation for being a safe place to sit out uncertainty.
Since it isn’t tied to one country or currency, gold often becomes the place investors run to during market swings or global tensions. This rush tends to drive up its price.
According to market reports, gold has jumped more than 50 percent over the past year. O’Leary isn’t looking to take his winnings. He’s actually adding to his stake and leaning further into the rally.
How Using Gold as a Wealth Stabilizer Paid Off for Kevin O’Leary
Staying committed to gold even when it hit high points has treated Kevin well.
Kevin said, “It’s hit all-time highs, and I’m still buying, but why? Because if I had stopped buying in 2023, at its all-time high of $2,078, I would have missed out on a [around] 82.7% return in just 2 years. Lucky for me, I’ve been buying gold for decades, even at all-time highs.”
Gold has climbed sharply in recent years. It broke $2,000 an ounce, then $3,000, and has now moved past $4,000. Kevin O’Leary isn’t alone in cheering that rise.
Gold vs. Dividends: Why Kevin Breaks His Own Rules
As Kevin’s royalty deal tendencies from the show indicate, he has always been drawn to investments that produce regular cash flow. This makes gold the exception in his portfolio. It’s the only thing he owns that doesn’t pay him.
He says his commitment to it comes from a moment that changed how he thinks about building and protecting wealth.
In a conversation with Forbes, Mr. Wonderful revealed his thought process behind this.
The Shark Tank investor said, “When I started to do some research, I found out one interesting fact that changed my investment philosophy forever. Over the last 40 years, 71% of the market returns came from dividends, not capital appreciation. So rule one for me is I’ll never own stuff that doesn’t pay a dividend. Ever.”
Dividend payments and reliable cash flow can act like a buffer when markets get rough. Even if share prices fall, investors who own strong dividend payers still receive income. That steady return can offer a sense of stability and help them ride out the uncertainty.
Gold’s Lasting Strength in a Volatile Market
Kevin O’Leary’s old-school fealty to gold shows he isn’t chasing trends and neither should you (according to his investment patterns). Gold is something that keeps a portfolio steady when the world feels unpredictable. As it happens, the world is quite unpredictable right now.
Gold is an asset that still holds power when all else fails. After all, there is a reason it has been the longest asset and wealth stabilizer in human history.
