Gold is the best bet this year

Gold offered the highest returns this year as the prices jumped on investors’ appetite for the safe-haven investment amid the global recession, a research found. Real estate was rated among the worst. 

Daishin Securities Co. released a report on Monday comparing betting results of some of the key asset classes such as stocks, bonds, gold and real estate. 

According to the Seoul-based brokerage, local prices of gold rose more than 8 percent year to date in 2010, offering the highest return. 

The wholesale price of the pure gold stood at 184,250 won per don, or 3.75 grams, as of Aug. 5 in Korea, compared to 170,500 won on Dec. 31.

Gold prices rose globally, as investors flocked to the precious metal, traditionally considered a safe-haven investment, during the recession. 

Findings by Daishin also revealed that properties, once favored by Koreans as one of the surest bets for wealth creation, was the one of the worst performing asset classes, as the local housing sector remained in a prolonged slump. 

A housing price index compiled by Kookmin Bank, the nation’s largest commercial lender, changed only by 0.83 percent from 101.465 to 102.303 during the eight months. 

Local shares produced solid returns, as the Korean economy rebounded strongly from a global recession, led by major exporters such as Samsung Electronics and Hyundai Motor.