Gold as an investment is a decent option however you may be slightly late to the party. Right time was 2003-2004. But if you look at it from the point of rapid increase M3 money supply, it still holds a lot of promise. I have some exposure to gold (I wouldn't put % here for my own sake). Make sure gold is part of your portfolio not all of it. Diversification is the name of the game.
KS, Chennai RE is not so much immune to the RE slump as anywhere else. The politicians may be strong but market forces are stronger. If they retain the RE prices at inflated levels in Chennai, Industries/Investors/Home buyers will simply find alternative places to put their money. That will be a classic "Happy Budday" moment for the RE exposed politicians. Plus any long term exposure to RE would be exploited by their political rivals to point out the unidentified sources of income. Income Tax people are getting wiser too.
To everyone, Investment requires strategy. Don't confuse your survival money with your investment money and don't put all your eggs in 1 basket.
|