Investors in India often compare the Nifty 50 index and physical gold as top investment asset classes. Using historical data from September 8, 2015, to September 9, 2025, this is a fact-based analysis of the performance of both asset classes.
On September 8, 2015, the Nifty 50 index closed at approximately 7,688.25 points. By September 9, 2025, the benchmark index had risen to about 24,868 points, reflecting a price return CAGR of approximately 12.46%.
Furthermore, accounting for dividends reinvested through the Total Return Index, i.e., TRI, the annualised return consolidates to approximately 13.5%. This clearly highlights the healthy growth delivered by the Indian equity markets over the entire decade.
Gold prices, on the other hand, were around ₹26,452 per 10 grams on September 8, 2015. These prices had rapidly risen to ₹1,12,655 per 10 grams by September 9, 2025.
This rise corresponds to an annualised return of roughly 15.16%, driven by gold’s role as a hedge and protection against inflation. This strong performance by physical gold gains even more importance given the global geopolitical uncertainties led by Trump tariffs and the Russia-Ukraine war.
Annualised returns: Comparison table
| Asset | Annualised return CAGR till September 9 (Last 10 years) | Key characteristics |
|---|---|---|
| Nifty 50 TRI | 13.5% | Growth-oriented, volatile |
| Gold | 15.16% | Stable, inflation hedge |
| Fixed Deposits | ~8.25% | Safe, low returns, inflation risk |
Note: The returns discussed above are illustrative only and subject to change. For accurate and updated returns, refer to the official websites of banking institutions and BSE/ NSE.
Worth of ₹10 lakh invested in 2015 by 2025
| Asset |
CAGR (%) |
Worth of ₹10 Lakhs in 2025 (Approx.) |
Key Traits |
|---|---|---|---|
| Nifty 50 TRI | 13.5% | ₹36.45 Lakhs | Growth with volatility |
| Gold | 15.16% | ₹41.02 Lakhs | Stable, inflation hedge |
| Fixed Deposits | ~8.25% | ₹22 Lakhs | Safe, steady but low returns |
Note: The returns discussed above are indicative in nature. For accurate decadal returns, refer to the official websites of NSE, MCX, and SBI for Nifty 50, physical gold, and fixed deposits, respectively.
Physical gold has outperformed the Nifty 50 TRI index by a slender margin over the last decade. The superior returns have been delivered by a strong price rise in the value of gold, propelled by the ongoing uncertainty in the global economic order, trade complications and sanctions.
Still, Nifty TRI continues to remain a vital growth engine for long-term wealth creation despite greater volatility due to ongoing geopolitical issues. Fixed deposits, while safer than the other two options, lag significantly in wealth creation.
Disclaimer: This article is for educational purposes only. Returns discussed are indicative and subject to market risks and changes. Past performance does not guarantee future results. For updated Nifty 50 returns, please refer to the official NSE or BSE websites. For current gold prices and returns, consult sources like MCX or authorised bullion markets. Investors should conduct their own research and consult certified financial advisors before making investment decisions.
