Tata Asset Management expert suggests fifty percent gold allocation in long-term portfolio

Tapan Patel, who works as a Fund Manager for Commodities at Tata Asset Management, has advised investors to follow a specific asset split for long-term commodity portfolios.

Portfolio Advice

Patel recommends a fifty, thirty and twenty percent allocation to gold, copper and silver respectively. He shares his views on gold, silver, copper and crude oil while looking at the changing forces that push commodity prices up and down.

Demand Drivers

Greater spending on infrastructure tied to artificial intelligence, green energy, carbon reduction and electric vehicles could push up the demand for commodities over the long run.

Context

Commodity investing involves putting money into raw materials like precious metals and industrial metals rather than company stocks. Financial experts often suggest spreading investments across different asset types to help manage risk over long periods.