How much is the gold worth now that I bought for 1000 yuan 10 years ago?

Directly in numbers: 10 years ago, the average gold price was $1158.86/oz, now it is $2744.67/oz, an increase of 136%. In other words, that $1000 is now worth about $2360.

At first glance, it looks good, but compared to the S&P 500 index of the US stock market, which has risen 174% over the past 10 years with an annualized return of 17.4% (not including dividends). Gold, although it has an annualized return of 13.6%, has much greater volatility.

Interestingly, gold has completely different properties—stocks and real estate generate cash flow, but gold just sits there, doing nothing. This is why it performs average during normal economic times, but once there are global disruptions, investors rush to buy in. In 2020, during the pandemic, gold rose 24%, and last year, due to inflation fears, it rose 13%.

So gold is not for making big money, but for preserving life - it often rises against the trend during stock market crashes, making it the hardest insurance. Experts predict that gold prices will rise by about 10% in 2025, possibly reaching $3000 per ounce.