Gold was fixed at $35 an ounce in 1971 when the U.S. abandoned the gold standard. Today it trades above $4,000 an ounce—a more than hundredfold increase that sounds dramatic at first glance. But stretched over half a century, the rise works out to a compound annual return of about 9.2%. Solid, steady, and a reminder of gold’s enduring appeal—but not the staggering windfall the headline number might suggest.
From 1971 to 2025, the S&P 500 with dividends reinvested has returned about 9.9% annually, slightly higher than gold’s 9.2% annual return over the same period.