Buy gold or shares! Know who gave the most money in the last 5 years

Gold has given returns of 18% per annum in the last 5 years, while Nifty has given returns of around 15% per annum during this period. However, if we look at the data of one, three, 10 and 15 years, Nifty has performed better than gold. Returns have been almost flat over the 7-year period.

During this period, Nifty has given a CAGR return of 15%, while gold has gained 14%. Amrita Farmahan, CEO of Ambit Global Private Client, has claimed this in a report. According to this, so far this year the global price of gold has increased by about 20 percent to about $ 2,390 per ounce. Last month the price briefly crossed the $2,400 level, its highest level ever.

Due to this, gold prices increased

Even in the domestic market, the price of gold in the beginning of April was Rs. 70,000 per 10 grams and crossed Rs. 70,000 per 10 grams on MCX. Was on the verge of crossing the psychological level of 75,000. However, recently it has softened a bit and is now around Rs 73,000. Farmahan said that there are many reasons behind this rise in gold prices. One reason for this is that there is a competition among many big central banks of the world to buy gold. Which includes China, India and Russia. Global investors' confidence in the dollar was shaken when the US seized Russia's dollar assets after the start of the Ukraine war. This is why central banks are busy buying gold. Due to the acceptability of gold, it is considered a global currency. Due to which the price of gold has increased.

Why did gold prices increase?

Farmahan said that the demand for gold is also increasing due to the increasing debt of America and European Union. This is because it is seen as a safe haven amid currency devaluation concerns. Another reason for the rise in gold prices is that along with the central bank in China, common people are also buying gold in large quantities. The condition of real estate in China is bad and the condition of the stock market is also bad. This is the reason why people are investing more and more in gold. It is expected that American retail investors may also follow the same path.