A major Invesco study reveals central banks are fundamentally reshaping their investment strategies amid growing doubts about US fiscal health. While confidence in the US dollar is declining, no alternative currency can replace it, driving central banks to aggressively increase gold reserves as the ultimate geopolitical hedge. These institutions are also abandoning passive investment approaches for active management to navigate an increasingly fragmented global economy. Gold is being embraced as a politically neutral asset that protects against sanctions and rising debt concerns.