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Friday, May 15, 2020

Why should i invest in gold ? Is it Worthy?

                    

                        hi, all the readers of MarketPandit blog today I am going to discuss about gold investment, why should we invest our money in gold, is it a good investment (or) not, how we invest smartly in gold......

Gold investment beat long term inflation and preserve the value of your money

  • Do you know India is Ranked 1st place for jewellery consumption in the world,
  • India peoples are highly intent in buying Gold and Silver,
  • Gold is royality in India.

when its comes to investing mode, various investors doesn't choose gold as a good investment, beacause they thinks gold investement is not gave a good returns then stocks & bonds etc..

Here the great investor Buffet talks about Gold

click here to watch the vedio

I recommend you create a small portion of your investment will invest in Gold because there are a few points about gold investment, and

Why should we invest in Gold?

1. Gold as high liquidity :

Gold has a High liquidity, it can be easily convert in cash, we can easily buy and sell th gold at any place in the world,such type of option is not avaiilable in other assets like stocks,bonds,realestate,mutual funds etc.....

2. Gold creates decent wealth :


the year 2006 to 2012 gold has given a return of 25% per annum, in long term holdings, after seeing the picture, gold has given a decent return to investors in long term holding period only.

source : http://goldprice.org/gold-price-india.html

Diversification of portfolio :

ggold doesn't have a high negative correction like stocks and bonds etc.... always gold moves in a positive direction when market corrected, gold is a good diversify investmnet to pass our next generation, it is a easy money to accept anyware in the world.

How to invest in Gold :

There is a two ways to Invest in Gold in any country as follows

1. Physical Goods :


It is a traditional way to invest in gold, there is a lot of demand for gold, gold act as ornaments, Jewelry as consider as investment.and it has a zero paperwork, and we want to consider a few things in gold investment for example if we bought gold we need to pay making charges and after we need to sell the gold the buyer need not consider making charges,he/she only pay the current price of gold that's it.


there is a another way to buy a gold without making charges if we buy gold coins and bars there is no making charges for it, we can sell directly the current price of a gold.

2. Invest in gold ETF's and gold funds:


ETF's stands Exchange Traded Funds, it is one type mutual funds whichwe can directly invest in gold with units ,we can buy the gold in units wise scheme, here we have a brokerage fee(0.25 to 0.5 %)of our investment.

you can buy the goldETF and gold funds in mutual funds, here you can see list of gold mutual funds available in India.

  • Birla Sunlife gold ETF
  • SBI gold ETF
  • ICICI Prudential gold ETF
  • Axis Gold ETF
  • Kotak gold ETF
  • and also read Top gold ETF's in India

How much we invest in Gold :

gold investment doesn't give high returns like shares, mutual funds, real estate..and gold investment will give the best portfolio diversification, I thought 5 to 10% of our investment is better to invest in Gold investment for portfolio diversification. here there are various gold investment schemes are there we will discuss step by step....

Conclusion :

gold investmnet is a best investment in long term prospective, but it doesn't gives a good returns like share, mutual funds, reaestate, i hope this post is might help full you guys if any doubt feel free to comment below thank you

Happy Investing.......


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