Market turbulence has been driving many investors to blindly rush to gold, but Franklin Allen and Jeremy Sigel, both Wharton professors at the University of Pennsylvania, have been speaking out about the risks of investing in gold, or even worse, investing based on sentiment. Wide price fluctuations don't make gold a good buy-and-hold for the long term, Allen said.

Sigel added that gold prices tend to ride waves of investor emotion. "In times of financial stress, in times of inflation, when there is fear for the [currency], gold does well," he noted. "Once the fears are past, gold goes back down."

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