BlackRock's Evy Hambro: Why Gold Failed and a 'Powerful New Cycle' for Commodities Is Here

Gold failed to protect portfolios during the latest market shock, a failure that is forcing a fundamental rethink of traditional safe-haven assets. In a revealing discussion, BlackRock's global head of thematic and sector investing, Evy Hambro, points to violent moves in gold and silver as a signal of deeper structural shifts. The conversation pivots from this specific disappointment to a broader thesis: commodities may be entering a powerful new cycle, driven by forces that transcend typical inflation hedges.

The core of Hambro's analysis centers on a confluence of new pressures creating a fresh 'energy risk premium' and reshaping demand. Key drivers include persistent inflation, the trajectory of interest rates, and a global scramble for energy security. Beyond energy, mining valuations and the explosive, AI-driven demand for critical materials are redrawing the investment map. This isn't just about oil and copper; it challenges the very role of gold in a modern portfolio and questions whether investors have sufficient exposure to energy and broader commodity equities.

The implications are significant for institutional and retail portfolios alike. Hambro's commentary suggests a strategic rotation is underway, moving capital away from assets that failed their stress test and toward sectors positioned for this new macro environment. The discussion underscores a period of intense scrutiny for asset allocation models, with commodities—from traditional energy to the metals powering the AI revolution—increasingly seen not as a tactical trade, but as a core strategic holding for the coming cycle.