Thanks for the write-up. I also can’t value gold, so I don’t own an of it in my portfolio. If you want to park some part of your portfolio in non-equity correlated assets, why not choose liquid funds (or bonds) which would yield 6-7% annually rather than gold which has random fluctuations?
The six to seven is dollar returns for gold. INR is around ten to eleven in the long run. So returns are better generally and the correlation is lower, when compared to equities. But ya I'm not advising anyone to buy or sell it. It's a personal decision. I just think its worth knowing that gold has had decades of no returns and so while it's done exceedingly well the last 5-10 years, it's not always been like that.
Thanks for the write-up. I also can’t value gold, so I don’t own an of it in my portfolio. If you want to park some part of your portfolio in non-equity correlated assets, why not choose liquid funds (or bonds) which would yield 6-7% annually rather than gold which has random fluctuations?
The six to seven is dollar returns for gold. INR is around ten to eleven in the long run. So returns are better generally and the correlation is lower, when compared to equities. But ya I'm not advising anyone to buy or sell it. It's a personal decision. I just think its worth knowing that gold has had decades of no returns and so while it's done exceedingly well the last 5-10 years, it's not always been like that.