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Indians See Jewellery & Stocks as Equally Important for Wealth Building: Report

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  Published in Stocks and Investing on Wednesday, January 7th 2026 at 7:54 GMT by moneycontrol.com

Jewellery & Stocks: Indians See Both as Key Wealth Builders, Report Reveals

A recent report by brokerage firm Motilal Oswal Financial Services indicates a significant overlap in how Indians perceive jewellery and stocks as tools for wealth creation. The study, encompassing over 3,000 respondents across 25 Indian cities, reveals that a substantial 86% of Indians rank jewellery alongside stocks as important avenues for building wealth – a surprising finding that highlights the continued cultural significance of gold and the growing financial literacy around equity markets. This isn’t an either/or scenario; for a large segment of the Indian population, both asset classes play crucial, and often complementary, roles in their financial planning.

The report, titled "The Great Indian Wealth Report," paints a picture of a nuanced investor base. While traditionally, gold jewellery has been the go-to investment, especially in rural areas, the increasing participation in stock markets, driven by easier access through digital platforms and increased awareness, is reshaping wealth-building strategies. The report demonstrates that the perception of stocks as a viable, and sometimes preferred, option is gaining traction across income groups.

Beyond Traditional Safe Haven: Gold's Continuing Appeal

The enduring appeal of gold jewellery isn’t solely based on its aesthetic value or cultural significance. The report points to gold’s perceived safety and stability, particularly during economic uncertainty. Unlike stocks, which are subject to market volatility, gold is seen as a store of value that holds its worth, even during downturns. This perception is deeply ingrained in Indian culture, where gold has historically served as a form of insurance against financial hardship.

However, the report also reveals a shift in how Indians are approaching gold. While traditional purchases for weddings and festivals remain strong, a growing number are viewing gold as an investment. This is evidenced by the increasing popularity of digital gold and Gold Exchange Traded Funds (ETFs). Digital gold platforms, like those offered by PhonePe, Paytm, and others, allow investors to buy and sell gold fractions online, making it more accessible and affordable. Gold ETFs, which track the price of gold, offer a dematerialized way to invest in the metal, eliminating the need for physical storage and associated risks. Motilal Oswal's own data shows a strong increase in investor interest in Gold ETFs.

Stocks Rise as a Modern Wealth Creator

The report highlights a significant increase in stock market participation in India. Approximately 45% of Indian households now invest in stocks – a figure that has grown considerably in recent years. This growth is fueled by several factors:

• Democratization of Investing: Discount brokers and digital trading platforms have lowered the cost of investing, making it accessible to a wider range of investors. Platforms like Zerodha, Upstox, and Groww have disrupted the traditional brokerage model, offering low fees and user-friendly interfaces.
• Increased Financial Literacy: There's a growing awareness of financial concepts and the potential for wealth creation through equity markets, driven by financial literacy campaigns and online resources.
• Younger Investors: A significant portion of new investors are millennials and Gen Z, who are more comfortable with technology and actively seek out investment opportunities. These younger investors are often more risk-tolerant and willing to experiment with different asset classes.
• Strong Market Performance: The robust performance of Indian stock markets in recent years has further encouraged participation.

The report breaks down stock market participation by income level. While wealthier Indians traditionally dominate stock ownership, the report notes a growing number of middle-class investors entering the market, seeking higher returns than traditional fixed deposits or savings accounts.

The Hybrid Approach: Jewellery and Stocks

The most compelling finding of the report is the prevalence of a hybrid approach. Indians aren’t necessarily choosing between jewellery and stocks; they are often investing in both. This reflects a practical approach to financial planning, where jewellery provides a safety net and a cultural asset, while stocks offer the potential for higher growth.

The report suggests several reasons for this co-existence:

• Diversification: Investing in both asset classes provides diversification, mitigating risk. If one asset class underperforms, the other may offset the losses.
• Cultural Relevance: Jewellery holds significant cultural and emotional value for many Indians, making it an integral part of their financial portfolio.
• Goal-Based Investing: Investors may allocate funds to jewellery for specific purposes, such as weddings or festivals, while using stocks for long-term wealth accumulation.
• Addressing Risk Aversion: For many, particularly in smaller towns and cities, a portion of their savings is still earmarked for gold as a 'safe' bet, while they are willing to take calculated risks with a smaller portion invested in equities.

Looking Ahead

The Motilal Oswal report suggests that this trend of combining traditional and modern investment approaches is likely to continue. As financial literacy improves and digital access expands, stock market participation is expected to grow further. However, gold is unlikely to lose its appeal, particularly in a volatile global economic environment. The key takeaway is that Indian investors are becoming more sophisticated, embracing a diversified approach to wealth creation that leverages both the enduring appeal of gold and the growth potential of the stock market. The report underscores the need for financial advisors to understand this nuanced investor behavior and tailor their advice accordingly.