Future-Proofing Wealth: Insights from a 20-Year Market Veteran on Gold, Silver, and Commodities
In an era marked by geopolitical tensions, inflation concerns, rate-cut cycles, and shifting global economics, preserving and growing wealth has become more challenging than ever. In a popular episode of the Finance With Sharan podcast (Episode 74, published October 17, 2025), host Sharan interviews Kishore Narne, Executive Director at Motilal Oswal with over two decades of experience in markets and commodities. The discussion offers a comprehensive, data-driven perspective on gold and silver as key tools for hedging uncertainty, debunking common myths and providing practical investment guidance.
Gold: The Ultimate Safe Haven and Wealth Preserver
Gold is not merely an investment but functions as a form of currency that protects purchasing power during times of crisis. Unlike stocks or bonds, it generates no income, yet it shines when fear dominates markets—whether from wars, pandemics, or economic instability. Narne emphasizes that gold’s price surges often stem from currency depreciation and macroeconomic factors rather than pure commodity supply-demand dynamics.
Key drivers include:
- Persistent central bank buying (led by nations like China and Turkey),
- Anticipated US Federal Reserve rate cuts (multiple expected, potentially 125 basis points by late 2026),
- Dollar weakness, and
- Geopolitical risks.
Indian festive demand, particularly around Diwali, has minimal impact on global prices. Jewelers stock up months in advance, so retail buying doesn’t cause spikes. India remains a major consumer (second only to China), but domestic production is negligible.
Narne views gold as trading at historically elevated levels—around 3 times its production cost—signaling strong momentum but also potential for short-term corrections of 5-10%. From the October 2025 context (when prices hovered around ₹1.2 lakh per 10 grams for 24K), he projected a rise to approximately ₹1.3–1.35 lakh per 10 grams by 2027, reflecting a cautious yet bullish long-term outlook.
Silver: Higher Potential with Greater Risk
Silver stands out for its dual role: part safe-haven asset like gold, and part industrial metal. Demand from solar panels, electronics, EVs, and other green technologies has created structural deficits, with consumption outpacing production for the first time in decades. The gold-to-silver ratio (around 100 at the time) suggested silver was undervalued compared to historical norms (typically 60-70).
Narne highlighted silver’s higher beta—meaning it moves more sharply than gold—offering outsized upside in bull markets but steeper drawdowns in corrections. He personally allocates zero to silver due to its volatility, but sees strong potential: a possible doubling to around ₹3 lakh per kg within 18 months from late 2025 levels (when global silver was near $50/oz). This would represent significant outperformance over gold for risk-tolerant investors.
Practical Advice: How to Invest Wisely
Narne stresses diversification: allocate 15-20% of a portfolio to commodities overall, with gold forming the core (10-15% for most, up to 15-20% for younger investors open to silver or other plays).
Avoid common pitfalls in physical gold:
- High making charges on jewelry (20-25% in India) can erode value over time—churning pieces multiple times effectively reduces gold content.
- Opt for 995 purity bars/coins or hallmarked items to ensure quality and traceability.
- Jewelry is typically 22K (916 purity) for durability, while 18K suits fashion but offers less pure metal.
Better alternatives include:
- Gold ETFs (low expense ratios, high liquidity, no GST issues),
- Digital gold via apps (convenient but with minor GST),
- Sovereign Gold Bonds (though new issuances stopped; older ones offer interest and tax benefits if held long-term).
For silver, exposure suits those comfortable with higher risk, perhaps through ETFs or futures, but not as a primary holding.
Broader Commodities and Long-Term Outlook
The conversation extends to a potential commodities supercycle, driven by energy transitions (EVs boosting demand for copper, nickel, lithium), green tech, and supply constraints. Narne advises caution with individual bets due to geopolitical risks, favoring diversified ETFs or funds instead.
Ultimately, the episode portrays gold as essential for wealth protection and silver for opportunistic growth in a changing world. Narne’s calm, macro-focused approach underscores that understanding global flows—central bank actions, liquidity, and fear—matters more than chasing short-term trends.
As of March 2026, gold prices in India hover around ₹1.62 lakh per 10 grams (24K), and silver near ₹2.8–2.9 lakh per kg, reflecting continued upward momentum since the recording. These levels align with the bullish thesis discussed, though markets remain volatile amid evolving rate expectations and global events.
For investors seeking to future-proof their portfolios, this interview serves as a timely reminder: in uncertain times, strategic allocation to precious metals can provide stability and upside, provided it’s done thoughtfully and without overexposure.
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