| The past five years have seen gold prices contract from the peaks seen in September 2011. However, in recent months, prices have increased. For the financial year 2016, domestic gold prices rallied about 11%, the bulk of which happened in the first three months of the year—it increased nearly 20% from January till April 2016.
While this recent trend could make you optimistic about the trajectory of gold prices, stop and analyse the objective of allocating funds to gold. Gold is not a productive investment—it does not earn interest, rent or dividends. All you have is the expectation that over a period of time the price of gold will increase...............................................Full Article: Source
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