Golden Points:
- Total gold holding in the world is estimated at 175000 tonnes
- Around 49% of gold mined today is made into jewellery
Gold is a unique asset class. You may have a modest asset allocation to gold of around 4 to 10%. This may protect you and may improve the performance of your portfolio. Investors of all levels of experience are attracted to gold as a solid, tangible and long-term store of value that historically has moved independently of other assets. Gold’s lack of correlation with other assets classes may also help in hedging against currency risk.
Gold holding may be used in portfolios to guard against risks like global purchasing power. It may also help you to reduce portfolio volatility and minimize losses during periods of market shock. It also serves as a high quality liquid asset to be used at a time when selling other assets would cause losses.
Nowadays Gold is also readily accessible to you, due to the development of a range of gold backed products like Gold Mutual Funds. We will be happy to give you the right direction with the right product.