In uncertain times like this, up to 15% of your portfolio can be in gold: Prathamesh Mallya
Prathamesh Mallya, Deputy Vice President, Research, Commodities & Currencies, Angel One, says in an ideal scenario, if you are a genuine, risk-averse investor who wants to diversify some part of your portfolio, 10% can be in gold. But in times of uncertainty like this, wherein you have a lot of things at play, gold is one asset that rallies and there is no stop to this rally. In that case, the ideal allocation should be in the 10- 15% range.
While we have seen gold prices rising and we are talking about how we could see a further run-up as well, how much of an investment or a portfolio should consist of gold now? Is it a priority everyone should be looking at it? And what is your view on the gold move?
Prathamesh Mallya: When you look at a shorter-term timeframe, just for this particular year, gold has given returns in double digits. Looking at a shorter-term timeframe per se, you would probably allocate more percentage of your portfolio into gold. In an ideal scenario, if you are a genuine, risk-averse investor who wants to diversify some part of your portfolio, it should be 10%.
But in times of uncertainty like this, wherein you have a lot of things at play, gold is one asset that rallies and there is no stop to this rally. In that case, the ideal allocation should be in the 10- 15% range.
While gold has seen that up move coming in, in silver too, the trend is catching up. What is your thought on gold versus silver and how do we pencil in both these now? Would silver be moving in tandem with gold and can the
