I have learnt a lot from the online financial course that I am taking currently. Now the topic is on gold. I heard that all Indians have safety deposit boxes in banks to store their gold. It is said that Indians can be cash poor but they definitely will have gold. Gold is their last resort to pawn off and it is reported that Indian hold 20,000 MT of gold, worth more than $1 trillion.
Gold has been used as a financial asset for more than 6000 years. It is one of the oldest ways to store wealth. Gold can be used as a jewellery, an investment, to store value, as money and also a good hedge tool. So why is gold worth investing?
From the graph, you can see that the annualized returns since 1970 for gold (red line) is around 9%, higher than the returns for US …Read the full article →