Gold From Insurance To Investment
You need to invest your money to make it grow and also insure it to protect yourself against any economic crisis. The two key pillars of any financial portfolio are investment and insurance.
While the reputation of gold as insurance is well established, gold has also proved itself as a lucrative investment asset that yields returns even in strong economic times.
We can see that gold has outperformed some of the most fruitful investment assets in the past.
Gold’s value in the long term is supported by economic growth. Not only does it act as a hedge against inflation, it also provides unbeatable returns over the long term. Unlike other asset classes, the value of gold transcends geographical boundaries and sovereign currencies. It is easily available and transparent, and yet provides better liquidity than any other asset.
Buying and selling of gold has taken various forms these days. Apart from physical gold, gold Exchange Traded Funds (ETFs) and digital gold are providing the modern-day Indian with newer ways to invest. Unlike jewellery and coins, these do not have any making charges and the hassle of storage and they are also easily available in smaller denominations for those who are just starting out with gold investment.
Whether people buy gold conventionally or use one of the newer avenues, it will continue to be a unique and much-favoured investment option for Indians. So, whether you categorise gold as insurance for your investment portfolio or an investment in itself, gold is undoubtedly a worthy addition to it.
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