Ultra High Net worth Individuals (UNHIs) and High Net worth Individuals (HNIs) know that successful investing entails diversifying their assets and building portfolios that can handle any form of turmoil in the markets. The secret to this is to build portfolios with assets that are contrary to each other to a certain extent. Prashant Trivedi, Chairman of Multi-Act Trade & Investments Ltd. states “Essentially the way in which the portfolio is constructed is, you give one-fourth to different asset classes – one-fourth to cash (and/or gold), one-fourth to fixed income, one-fourth goes into equity and one-fourth is given to real estate”.
Gold has been in use as a form of currency or a high value commodity for at least three millennia. Records show that India has had an intense relationship with this glittering metal for almost as long. The picture of an Indian bride is incomplete without her being weighted down by masses of gold jewellery and tales of palaces being inlaid with gold leaf abound.
This infographic traces the origin of the money system depicting early coins that were used in various eras ultimately leading to the introduction of paper money, known as “fiat” currency. Fiat currency, though declared by a government to be legal tender is not backed by a valuable commodity. Because of this very fact, fiat currency has repeatedly collapsed down through the ages. Are we headed for another collapse? If so, do you know how to invest in a fiat currency environment? This infographic takes you through the journey.
“Will you lend me your mare to ride a mile?
No, she is lame leaping over a stile.
Alack! And I must go to the fair!
I’ll give you good money for lending your mare.
– Oh, oh! Say you so?
Money will make the mare to go.”
The old nursery rhyme still holds true today. Money still makes the mare go. The story of money goes even further back. In fact, the tradition of money goes back around 3000 years, before which a barter system was probably used.
The recent decline in the price of gold has led many market participants to question the investment value of the yellow metal. Much has been spoken and written about the relatively poor return to be earned from gold. We think investing is NOT an exercise in bragging rights about which asset class has higher returns in the past and are therefore assumed to hold in the future. Read More
Which investment is better, gold or equity? This is an eternal debate since the time stocks were being sold informally under shades of trees. The question has not lost its relevance even today, when market experts advance the case of equity investments especially where the results seem impressive. Let us first understand the characteristics of the two “players” – gold and equities. Read More