Let asset allocation, not price direction guess, guide decision on gold

As gold scales Rs 1 lakh peak, investors are wondering whether to sell now and book profits or wait to see how the tariff wars play out. Here's a handy explainer on the best way forward

With the yellow metal recently scaling the ₹1 lakh mark, even ardent gold investors are in a dilemma: should they continue to invest, or is it time to cash out? Experts say that instead of trying to second-guess gold’s direction, investors sh­o­uld let their asset allocation guide them. 

Positive drivers 

The key driver of the rally is policy uncertainty. “The imposition of tariffs and the current negotiations are an effort to change the world order as it existed. The dynamic changes that are taking place have led to a lot of uncertainty,” says Chirag Mehta, chief investment officer, Quantum Asset