Gold has once again captured the spotlight, hitting an all-time high and leaving investors debating their next move: should they book profits, hold their positions, or continue buying? On September 9, gold futures on the Multi Commodity Exchange (MCX) for December delivery surged to ₹1,10,400 per 10 grams, while physical gold prices in India reached ₹1,09,140 per 10 grams, setting a fresh record.

With prices doubling in the last four years, gold has proven to be one of the most rewarding asset classes. But as the yellow metal scales new peaks, investors are split between profit-taking and long-term holding strategies.

According to Navneet Damani, Senior Group Vice President at Motilal Oswal Financial Services, gold prices have risen nearly 100% in the last four years. He notes that investors who entered the market early may consider booking partial profits. However, he cautions that asset allocation should remain the top priority.

“Generally, investors are advised to keep 7.5–10% of their portfolio in gold. While the recent rally has been sharp and fast, gold continues to play an important role as a hedge,” Damani explained.

While gold continues its upward momentum, analysts see significant opportunities in silver. Motilal Oswal expects silver prices to touch ₹1.35 lakh per kilogram, followed by ₹1.5 lakh per kilogram over the next 12–15 months.

Retail investors, according to Damani, can consider allocating 5% to silver and 2.5% to gold at current levels for a balanced exposure.

Srikant Bhargava, Managing Director at Hexagon Wealth, believes gold’s rally is far from over. He points to global economic uncertainties, rising fiscal challenges, and strong central bank demand as key drivers.

“Investors can still invest in gold, preferably through Systematic Investment Plans (SIPs) in gold ETFs. Given the geopolitical and fiscal landscape, gold remains an attractive hedge,” Bhargava said.

He highlighted that central banks, particularly in emerging markets, have been increasing their gold reserves, further boosting global demand and supporting prices.

For many investors, the temptation to cash in on record-high prices is strong. However, experts caution against exiting entirely. Instead, they recommend maintaining gold exposure as a form of portfolio insurance.

Bhargava adds, “Gold acts like an insurance policy for your investments. It protects against inflation and global risks. Investors should ideally keep 10% of their portfolio in gold, even if they book partial profits.”

Despite concerns about valuations, experts remain bullish on gold in the medium term. With central bank buying, geopolitical tensions, and inflationary pressures showing no signs of easing, gold is expected to retain its safe-haven status.

Silver, meanwhile, could outperform gold in percentage terms, offering investors another avenue for returns.

For Indian investors, the choice between buying, holding, or booking profits depends largely on their portfolio mix and entry levels. While partial profit-taking is sensible for long-term investors, experts recommend retaining a 10% allocation in gold as a safeguard against global uncertainties.

With both gold and silver expected to stay in the spotlight, investors should stay disciplined, avoid panic decisions, and align their strategies with long-term financial goals.