Budget 2026: Gold, Land, and Investments - What Reforms Mean for Your Wealth

• Indian households traditionally hold significant wealth in physical assets like gold and land, driven by cultural beliefs and security.
• Despite a rise in equity market participation (DIIs, SIPs), two-thirds of household wealth remains in physical assets.
• Proposed Budget 2026 reforms could amend Section 54F, allowing tax-exempt reinvestment of capital gains from gold/land sales into equity.
• This reform aims to financialize savings, providing retirement security and funding growth targets by mobilizing physical assets.
• A 5-year lock-in for such investments would create stable domestic capital, protecting markets from FPI volatility.

Why It Matters: Budget 2026 reforms could incentivize shifting wealth from physical assets to equities, boosting financialization and stability.