Is Gold 'Cheap' Or 'Expensive' Relative To Stocks?

Charles Gave succinctly summarizes the art of money management as being about how to decide when to move from full property (gold) to partial property (equities), and vice versa . And the time to return to money is when the growth prospects of shares are excessive, against either gold or energy.

His latest research note, via Gavekal Research, builds a methodology based on relative valuations between gold and equities in order to aid the 'art' of money management.

"I may not be able to find the real value for gold, but I can perhaps determine if it is cheap or expensive versus the stock market."