Core Insights - Tariff turbulence has significantly impacted U.S. stock performance, leading investors to seek diversification in foreign equities, which also carry their own risks [1][2] - The uncertainty surrounding interest rates may prompt the Federal Reserve to consider rate cuts, but persistent inflation could delay such actions [2][3] - Gold ETFs, particularly the Goldman Sachs Physical Gold ETF (AAAU), are highlighted as a strong option for diversification and protection against market volatility [4][5] Tariff Impact - Tariffs are affecting various sectors, including technology, consumer goods, and industrials, creating supply chain challenges and increasing consumer debt [2] - A potential U.S. recession could have global repercussions, exacerbated by tariffs and their effects on currency [3] Interest Rate Uncertainty - The current uncertainty regarding interest rates casts doubt on fixed income investments, making timing and duration management complex [3] - Core allocations remain a viable investment strategy, but income ETFs may be necessary to navigate the current landscape [3] Gold ETF Performance - The Goldman Sachs Physical Gold ETF (AAAU) has shown a year-to-date return of 27.5%, outperforming its category averages of 24.5% and 15.4% [4] - The direct exposure to physical gold through AAAU positions it as a strong candidate for investors looking to hedge against market volatility [4] Future Outlook - AAAU is positioned as a potential source of diversification for investors seeking to bolster their portfolios with gold [5]