Exposure to gold has rewarded investors in the last one year when the stock markets remained volatile. The safe haven demand and the fears of economic slowdown made investors go for gold. As the cryptocurrencies plummeted, gold became the preferred asset for many investors looking to protect their purchasing power in times of rising inflation. Silver prices, in early 2022 were subdued as it is considered more of an industrial metal.
The Chinese economy opening up post its zero-covid tolerance policy has led to an increase in industrial demand for silver. No wonder silver has shown big moves in recent past. Investors should follow their asset allocation while investing, and not chase returns.