Gold Surge Boosts Indian Household Wealth by $1.3 Trillion in 2025

• Indian household wealth increased by approximately 117 trillion rupees ($1.3 trillion) in 2025, primarily due to a sharp rise in gold prices, according to the HDFC Mutual Fund Yearbook 2026.
• This marks the largest wealth increase in the last 25 years, with gold prices surging by about 57,000 rupees per 10 grams in 2025, following a 14,000 rupees increase in 2024.
• Rising gold values led to a significant increase in retail loans taken against gold, as people leveraged their enhanced asset value during financial needs.
• The Indian stock market experienced a weak year in 2025, with Nifty underperforming global and emerging markets by about 25%, its worst performance in nearly three decades.
• HDFC Mutual Fund advises new investors to consider hybrid funds for balanced risk management, combining equity, debt, and gold, given the market volatility.

Why It Matters: A significant surge in gold prices in 2025 led to a record increase in Indian household wealth.