Gold vs Stocks: Which Bet Paid Off Better in the Last Decade?

Imagine you dropped $1,000 into gold a decade ago. Fast-forward to today: that investment would’ve grown to around $2,360. Not bad, right? But here’s where it gets interesting.

Gold prices climbed from $1,158.86/oz to $2,744.67/oz — a solid 136% gain. Average annual return? 13.6%. Sounds respectable.

Then you check the S&P 500. Up 174% over the same period. Annual return: 17.41%. Plus dividends on top. Ouch.

So why do people still chase gold? It’s the insurance policy nobody wants to use until the market burns down. During crises — like 2020’s pandemic panic (gold jumped 24%) or 2023’s inflation spiral (up 13%) — stocks crater while gold holds the line.

The catch: gold doesn’t produce anything. No revenue streams, no cash flows. It just sits there. Stocks build companies. Real estate generates rent. Gold? It’s pure speculation on fear.

The real talk: If you want to get rich, stocks are the vehicle. But if you want to sleep at night when everything else is falling apart, keep some gold. It’s not an investment—it’s financial peace of mind.

Forecasters expect gold to hit ~$3,000/oz in 2025, another 10% pop. The question isn’t whether it’s better than stocks. It’s whether you can afford NOT to have any when the next crisis hits.