Are you wondering that it’s 2021, a digital world and if it is the right time to even think about investing your hard-earned money in gold?
But let me tell you one thing, gold is an asset that never goes out of fashion. In 2020, gold was one of the most sought out asset classes because of the uncertainty in the global market. Without a doubt, it is one of the least available of the common metals on the planet. And from all of the rise in its prices, the funds of investments in this precious yellow metal gave back an eye-popping return for the year.
Undoubtedly for the last two years, gold has been appreciated for various reasons. But what are the factors that can broadly affect the gold prices of India?
Here are 6 main factors influencing gold prices:
1. Reemergence of the Coronavirus
2. A world economic situation
3. The US dollar value
4. Reset of the World Relationships
5. Inflation and Interest Rates
6. Money Printing
In general, these are the factors that are most likely going to affect the gold prices in the country. To sum up and bring it out the gold price is expected to move up this year. Investors might think of allocating anywhere from 5% to 10% depending on the influencing factors.
But there are a few ways you can always go forth with your gold decisions:
- Sovereign Gold Bonds issued by Govt, of India
- Gold Funds
- Gold ETF
The most convenient way, and beneficial too, would be from buying digital gold online. If you decide on buying gold in 2021, the live source you can rely on would be digital gold investments.
It might seem like something new for a lot of people. But let me walk you through this one thing at a time. Any time of the year, digital gold would come in handy for you. When it comes to India, gold is still held as one the highest in regard to saving, and auspicious investments. While buying gold is the goal, buying digital gold would be a cost-effective and convenient way.
Firstly, what is Digital Gold?
Digital gold refers to a virtual investment instrument, which is more convenient than purchasing gold from a shop. Gold is the first investment choice of Indians, especially a hedge against inflation. Now, digital gold makes these objectives a much easier process. It is more transparent and at the same time, seamless.
Digital gold is when you can trade in 24k gold at current market prices and have the entire gold redeemed whenever you want or need to. Digital gold gives you the option of safe investment in precious metals at the click of a button.
Merits of Investing in Digital Gold:
Any investor can enjoy these benefits by just investing in digital goals.
There are no storage costs –
Through schemes like GROWW Digital Gold, or any other you can store the digital gold you have purchased at safe vaults free of costs for fixed time sessions.
You can Purchase the Smallest Amounts of Gold –
You can buy digital gold at highly minimal costs and value and store it for free.
Redeem at your Convenience –
Storing gold as jewellery drives up costs through making and wastages charges. By choosing to invest in digital gold you can choose to have the gold redeemed only when it is essential.
Buy at the Current Market Prices –
Buying digital goals means you are buying it at the live market price. And at the only live market prices that are the same across the entire country. By this, you also get to save the making fees and other charges that are associated while buying it physically.
You Take Back Assured Safety and Purity –
The digital gold that you buy is backed up by physical gold. These features ensure you with investment security at all times. You are also given access to the vault without any charges.
Easy Liquidity –
While gold is an investment instrument to easy liquidity, digital gold goes the extra mile when it comes to liquidity. You can effortlessly buy and sell it at the market rates across the country, and simultaneously avail cash in case there is a financial crunch.
Instantaneous Updates –
Digital investment platforms are linked with real-time market changes. So, if there are changes in the gold prices in the market, it is immediately reflected in the platform. This feature lets the investor take advantage of the latest rates.
Diversify Opportunities –
When you are buying digital gold, you can hedge your portfolio to reduce concentrations.
Recorded Transactions –
If you are ever in doubt about your transactions, you can look it up on the digital application. Tracking these transactions also give you better insights into your gold investments.
The Procedure of Buying Digital Gold:
1. Visit any of the platforms which offer digital gold investments such as Groww, Paytm, HDFC, and more.
2. After you have visited a platform, enter the number of grams you want to buy.
3. Choose the payment method you want.
4. Store the digital gold you’ve bought in secured lockers.
5. Sell whenever you want or when you see profit coming your way on the same platform.
6. Take physical delivery of the gold. Just in case you do not want to sell your gold, you can request physical delivery of your gold.
Concluding:
Noticing the market fluctuations can give you a clear picture of the best time you can start buying gold in the market. The main challenge comes when you can never control external factors. So, the next best thing you can do is to make a smarter decision through digital gold and the perks that come along.
In digital gold, you have live market rates at your fingertips that allow you to make the best of your profits and grow wealth in a healthy manner. Digital gold is only a few clicks away, with more benefits than buying it physically.
