Gold’s Strong Run Recently
In the last 15 months, gold has given very strong returns.

It has grown by around 76% in this short time. During the same period, Nifty has stayed almost flat. This makes many people feel that gold is the best place to put all their money right now.
Gold and Nifty After Covid
If we look from the Covid market bottom, gold and Nifty have given almost the same returns. First, Nifty performed better. Later, gold moved faster and gave higher gains.

This shows that both gold and equity take turns in doing well over time.
Why Both Are Important
This clearly tells us that money should be spread across both asset types. The problem comes when one asset does very well for a short time. People then feel they should put all their money only in that one asset. This thinking can lead to mistakes.
Gold Does Not Always Perform
History shows that gold does not give steady returns every year. From 1980 to 1990, gold gave almost no growth because it had risen sharply before that.

From 1996 to 2002, gold again showed no major gains. The same happened from 2012 to 2019. Gold usually gives returns in phases, followed by long quiet periods.
Avoid Common Investment Mistakes
Because gold has done well in the last three to five years, it does not mean equity should be fully ignored. Moving all money from equity to gold can be risky. Every asset has good and bad phases, and no single asset performs well all the time.
Keep a Balanced Portfolio
A balanced portfolio works best in the long run. Some people may keep 80% in equity and 20% in gold. Others may prefer 50% in equity and 50% in gold. The right mix depends on your risk level and personal situation. Keeping balance helps reduce stress and gives better results over time.
