People across the world believe in investing in ‘physical gold’. The theory is simple, one can depend on gold when other assets do not render stability. Therefore, gold continues to be the most favoured investment for ages. Undoubtedly, its respect as an auspicious metal in different cultures across the world also plays a vital role in considering the best metal for a lot of purposes. So here are 6 of the many benefits of choosing gold as an investment in the long run.
- Easy to buy and easy to sell –
It is indeed the most easily available metal in any part of India. In fact, physical gold shops can be found even in some parts of rural India. However, it is wise to buy them from trusted jewellers who can provide guarantee certificates on the product. But what a lot of people don’t know is that even banks sell golds in the form of gold coins and you can easily get it from them. But two very important things to keep in mind while buying gold is to –
a) to buy original quality gold and
b) and one should not forget to take proper receipts from the buyer .
When it comes to selling, remember that gold is always in demand and therefore you don’t need to panic when it comes to liquidating your assets in gold. Most of the time you make immediate cash from the jewellers and traders.
- The Price –
Gold can be your saviour in the long run. Gold can protect your investments, even when your country is facing an economic, geo-political or monetary crisis. And depending on the nature of the crisis, gold can move from a defensive tool to an offensive profit machine. Many investors have used gold in times of financial crisis. One can check the gold rate from online and keep a track of it. This will give an understanding of price fluctuations.
- No deterioration in its quality –
Gold does not require much maintenance, as it can be easily kept in a safe place for hundreds of years. Moreover, it will never lose its price due to its age and old ornaments made of gold will get the same price in the market as that of new ones. This is also seen as a status symbol in our society and you will be able to get good liquidity in future.
- Best supplement to other investments –
Let’s talk about two alternatives to gold – stock market and real estate as investments. While both can provide returns, they’re very risky options and one should never invest all of their savings on any of these. In simple words, the rate of gold will never fall drastically as compared to that of the stock market and real estate, making it the safest investment option.
- Backup in the situation of bankruptcy –
Having gold in any form comes with an assurance that you will have something to help you in times of need. The simple reason behind this is that gold is the only financial asset that is not simultaneously some other entity’s liability. Gold is tangible and therefore, no middleman or other party is necessary to fulfil a contractual obligation. The value of gold will never come down to 0, it will always have a value.
- Can be passed on to next generation –
Gold as an asset can be passed on to your next generation, this has traditionally been happening in India and still continues to be because of the nature of gold. Gold is the most popular gifting material in India for many important occasions like marriage or childbirth. Gold can also be passed on to children while distributing other assets which are significant for their future.
Gold’s impeccable qualities make it the most coveted metals in the world. It is not used as a currency today, but its role in being liquidated for a fair amount of cash makes it superior to other metals. Hence buying gold is nearly uncomplicated and investing in gold is worth considering. Happy Investing!