Everyone of us has seen our parents buy Gold on Akshay Tritiya, and we as the next generation are carrying forward this ritual of buying Gold on Akshay Tritiya as it is auspicious.
All rituals in Indian culture were based on some or the other logic or scientific reason.
Back in the olden days, Gold used to be the best form of savings. It could be used in difficult times of the family, in the wedding of the son/ daughter.
These rituals of buying Gold on auspicious days inculcated habit of savings.
Today, the best form of savings may or may not be Gold. Let’s evaluate the returns from investing in Gold in the past 20 years.
(Photo courtesy : Economic Times)
If the same amount was invested in Sensex
And, if the same amount was invested in Equity Fund (say for illustrative purposes, Franklin India Bluechip)
From the above, it’s very clear that the best form of savings today is ‘Investing’ in ‘Equity’.
So, this AKSHAY TRITIYA, Invest in Equity..!
Still if you believe that you want to buy Gold, you may prefer to invest in Gold Bonds instead of Physical Gold. The Sovereign Gold Bonds issued by RBI are linked to the price of Gold and offer an additional 2.5% interest to investors. SGB have tenure of 8 years with an exit option from 5th year, Investors can also exit by selling on stock exchange.
The final decision of what to do with your hard earned Money is Only Yours.
Be Wise! Happy Investing..!
CA Mitsu Nitesh Buddhadev
CA Nitesh Buddhadev
NIMIT Wealth Management
For feedback or suggestions, you may reach out to us at firstname.lastname@example.org