Confused about choosing a financial product for investments?

Mr.X has a lump sum amount and wants to invest it immediately into a product which has been giving him good returns for past few years. But his friend, a stock analyst, says the stock market is really at its bottom and stocks are available at huge discount. This is a time to invest into stock market.

His wife suggested that Gold looks bullish and has been observing its price movements and gold is a sure shot good investment.

Now, he is confused as to where to invest his money?
Mr.X can base his investment choice on the following:

1. Investments should be aligned to his financial goals.

2. Choice of Financial products should be based on priorities.
After #financial planning, Mr.X realises a big shortfall in his Retirement funds and hence wants to forgo his international vacation this year and invest accordingly.

3. Timeline of his Financial goals.
Choose products like stocks, real estate or equity mutual funds for a long term ( beyond at least 3 years) and FDs or debt mutual funds for short term needs.

4. Aligned to his risk profile.
What is the use of investing into a product, but loose sleep over it ? He should choose products that he understands and has conviction in it.