Where should investors put money? Experts answer

Crypto vs gold vs stocks: Where should investors put money? Experts answer

Market experts broadly see equities as having the strongest structural case over the next decade.

Crypto vs Gold vs Equities: Where should investors put money?

Heena OjhaNew Delhi4 min read Last Updated : Sep 07 2026 | 8:31 AM IST

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<a href="https://xpertsstudio.com/bitcoin-leverage-cools-after-82k-retest/” title=”Bitcoin leverage cools after $82K retest”>Bitcoin is up around 26 per cent in one month, and Gold prices are up 7.6 per cent in a month, putting the spotlight back on alternative investments as investors weigh the risk-reward trade-off between crypto, equities and gold. While experts remain cautious on digital assets, equities continue to emerge as the preferred vehicle for long-term wealth creation, with gold retaining its role as a portfolio hedge.
 
Market experts broadly see equities as having the strongest structural case over the next decade, while gold is viewed as an important diversification and defensive asset. Crypto, despite its potential for outsized returns, continues to be associated with considerably higher volatility and regulatory uncertainty.
  
Jateen Trivedi, VP research analyst, commodity and currency at LKP Securities, said equities have delivered more consistent long-term compounding,“over the longer term, equities have delivered more consistent compounding if a disciplined way is used, like index-based small-cap, mid-cap, and large-cap allocations, but it also needs to be tracked,” Trivedi said.
 
For crypto, Trivedi noted that the asset class has generated the highest returns over certain periods, but with substantially higher volatility and drawdowns, ”hence keeping a smaller amount in assets which can give higher returns suits better rather than keeping a major part of portfolio and having drawdowns,” he said.
 
Trivedi classified Gold as an important hedge and noted that a decent allocation of around 20-30 per cent should be done in this particular asset class.

Equities retain the long-term advantage

V K Vijayakumar, Chief Investment Strategist at Geojit Investments, also sees equities as the strongest asset class, noting that equity returns could remain in double digits, although gold and crypto are likely to be more erratic.
 
“One can say with a high level of certainty that equity can deliver average double-digit returns, say 12 per cent. Returns from gold and crypto will be highly erratic. Gold can deliver a reasonably safe return of say 6 to 8 per cent. Crypto returns can be hugely volatile,” Vijayakumar added.
 
Harshal Dasani, business head at INVasset PMS, echoed similar sentiment, noting that among the three asset classes, equities have the best outlook, “because they are the only one of the three with a claim on cash flow. Gold and crypto have price drivers; equities have an earnings engine.”
 
He added that the two are complements rather than rivals. Equity is the growth claim, gold is the hedge against the policy conditions that make the growth claim volatile.”
 

Gold still has a role despite its strong rally

 
Regarding the bull run in Gold and whether the precious metal can continue to outperform equities. Experts see that possibility, but largely under specific macroeconomic conditions.
 
Trivedi said, “gold can outperform equities over certain phases, particularly if inflation, geopolitical risks or monetary uncertainty remain elevated. However, over a full decade, equities have a stronger fundamental return engine through earnings and dividend growth.”
 
Vijayakumar attributes the recent gold rally primarily to central-bank purchases, noting that, “the recent sharp bull run in gold was driven mainly by central bank buying. This has the potential to continue since there is a trend of de-dollarisation and loss of trust in the dollar thanks to the whimsical policies of the US administration,” Vijayakumar said.
 
Harshal takes a more conditional view, arguing that gold can still outperform equities, saying, “For gold to beat equities over a full decade, either that monetary backdrop has to keep worsening or corporate earnings have to disappoint materially.”
 

Crypto offers high returns but at a high risk

 
The biggest divergence among the three asset classes is in the risk associated with crypto. While Bitcoin’s recent gains have revived investor interest, the experts caution against extrapolating short-term performance into long-term returns.
 
Trivedi believes crypto has the largest mismatch between return expectations and perceived risk.
 
“Crypto has the biggest gap between expected returns and perceived risk because return expectations remain very high, but volatility, regulation and valuation risks are also significant. Gold offers lower expected returns but considerably lower downside risk, while equities sit somewhere in between,” Trivedi noted.
 
Dasani similarly highlights the gap between crypto’s returns and the volatility investors have to endure, noting that “equity-like return with several times the volatility is not a superior risk-reward; it is an inferior one dressed in better marketing.”
 
He further added that the most under-owned asset relative to its realised record is gold; the most over-expected relative to its realised record is crypto. “Equity is roughly correctly perceived, which is why it stays the core,” he said. 
 
Disclaimer: View and outlook shared belong to the respective brokerages/analysts and are not endorsed by Business Standard. Readers discretion is advised.Topics :Goldcrypto to cypto tradingGold vs equitiesNifty 50Markets Sensex NiftyMarketscrypto trading

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First Published: Sep 07 2026 | 8:31 AMIST

Source: www.business-standard.com