Gold is now at Rs 1 lakh per 10 gms... should you still consider investing in it? Firstly, let’s look at the returns of most popular investment asset classes over the past 25 years... Since 2020... 👉🏼 The Indian stock market has grown by 16 times... delivering almost 11% p.a. 👉🏼 And Gold has grown by 20 times... delivering almost 13% p.a. Which means if you were born in the 1980s or 90s, the best performing asset in your lifetime so far has been gold... But should you buy it at this high price? One way to measure this is to look at the Sensex to Gold Ratio... Currently, the Sensex is close to the 80,000 mark, while the gold is close to 100,000... And a good thumb rule suggests that when Sensex to Gold Ratio is less than 1:1, then Gold may slow down for a bit and the Sensex may deliver slightly higher returns... Now the biggest reason gold rises is when there is a lot of economic uncertainty or political instability in the world... What would I do? I, in my 30s, would try and design my portfolio in such a way... That 30% of my net worth is in Real Estate; 50% is in Equities; 5% is in Fixed Deposits; and and 15% is in Gold. Please note that financial planning is individually done for each person depending on their goals and risk appetite... the above is just a framework I follow for my own wealth planning, and this may not apply to your life equally. ---------------------------------------------------------------------------------- Like, Share, Subscribe for more! Follow me on my other social media handles for all updates, events and live sessions- Instagram:casarthakahuja LinkedIn: sarthak-ahuja Website: http://www.casarthakahuja.com/ ---------------------------------------------------------------------------------- A Chartered Accountant with about 10 years of experience in areas of Tax Advisory, Startup Consulting, Fundraising, Audits, Deal Advisory, Business Modelling and contract CFO services. Winner of the ISB Young Leader Award 2017 and the Best All Rounder, PGP Class of '17, Sarthak has also been published about in the leading financial newspapers such as The Financial Express as possibly the youngest Indian to have completed the courses of CA, CS and CMA along with a graduate degree in Financial & Investment Analysis from University of Delhi, all by the age of 23 years.