This is why investors prefer to add gold to their portfolio to protect themselves from inflation. Most estimates suggest that investments in gold should account for only 5-10% of your portfolio and no more. This will ensure that your portfolio has room for other investments such as mutual funds, stocks, P2P lending, etc. The research showed that the “sweet spot for the percentage of gold in the portfolio is 20%.
In the long run, this provides the best balance between risk and reward. Limit investments in gold to 5-10% of your portfolio. This generally agreed amount helps to mitigate riskier investments without relying too much on it. The easiest way to add gold to a wallet is through an ETF called SPDR Gold Shares, commonly known by its symbol GLD.
Learn About Gold is an excellent source for learning more about adding gold to your investment portfolio. Ashraf Rizvi, founder and CEO of Digital Swiss Gold and Gilded, says: “For those lucky enough to manage a larger portfolio, investing in gold is subjective to investors' risk appetite and asset mix, not just purchasing power.