Gold as an Investment in your portfolio

For any portfolio, asset allocation is very important.

You need to have a diversified portfolio with investments in different assets like Bank Fixed deposit or Bank Recurring deposits/Govt secured bonds/ PPF/Insurance/ Mutual funds/Shares/Gold/Real estate.
Gold has been one of the most favourite assets.

Post the dot-com bubble crisis in 2001-2003 and global financial crisis 2007-2008, there has been global demand for gold. The global demand for gold has increased from 2008 until today. Of late, due to the pandemic, Central Banks around the world have brought gold. Hence the demand for the metal has gone up to a great extent.

Gold has given quite a decent return when compared to the price in 2010 and today. 

In recent times, gold prices are experiencing correction due to:

> Vaccine announcements for COVID19 from countries, primarily from Russia right now. This is upped risk sentiments and safe assets like gold are low on demand.

> Expectation of a fiscal stimulus for the US economy and the associated selling of bonds by investors.

Markets are moving very abruptly and market dynamics are also changing. Therefore investment in gold is attractive from a long term perspective.

You can invest in physical gold or in sovereign bonds. You can also look at gold exchange traded funds. If you want to know more about investments, contact me at venkat@prudentconnect.com

Have You Done Your Financial Planning

Financial Goal Planner.

Retirement Planning

I wish I had planned for my retirement is the most unfortunate statement a person can make in his life.
Is your Retirement Plan Inflation Proof?------How much money is needed?


While earning, you must save say atleast 35% of your monthly salary. If not 35%, alteast try to save 10% of your monthly salary.


Inflation of atleast 6% to 7% must be taken into account while deciding how much retirement corpus you would require.
Retirement is not a vacation. Neither is it a destination or a stopping point. It is just a completely different way of life than the 9 to 5 routine.

A transition is a more apt way to describe it, one that requires planning and adjustment.


What you have to figure out is the lifestyle you plan to lead. Someone might just want a car, you might want a Mercedes Benz. You might still want to purchase branded clothes and eat in posh restaurants. In that case, ensure your savings plan accommodates for such a lifestyle.


Take some time to map out what your expenses may be in retirement, and to make sure you're accumulating enough to support them.


Retirement planning requires a clear-eyed analysis of future needs and income.


During retirement, it is important to have money to support yourself & your spouse for basic and lifestyle maintenance. With increasing age, the medical & nursing costs will be high. Hence a significant budget should be allocated for these factors.


You need to financially prepare from today itself. Today you are having an income but after retirement regular income stops and you will have to depend only on your savings.


Start planning today itself. Don’t delay.