Right time to invest in gold?

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Gold etf is actually the best way to INVEST in gold. Only extra that you pay is brokerage. I have an SIP going in one of the ETFs .
 
17% average returns is nothing fanstastic...not good for trading either because the price does not move much
http://www.reliancemutual.com/RMFAdmin/UploadResources/Schemes/GD/FAQS%2019.03.2011(final).pdf

If you got lot of money the safest and highest yielding investment is real estate.
 
Buying from banks is the worst idea. they sell gold at the highest rate compared to the competitors due to various premiums they charge. approx they will charge you 5 % more than a jewellery shop (depends on bank to bank)
If you want to physically buy gold coins/bars reputed jewellery shops are the way to go. Insist on the 99.9/99.5 purity certificate on every purchase with a bill. this way you can sell to any other shop in future.
Gold ETF's are the best way to invest. no hassle of physically storing the gold. and it can be liquidated any time with a click of a button. you can buy from any AMC as the performance is linked to gold spot prices and differs only marginally due to the different expense ratios. buy from an Amc which charges the least expense ratio
Now E-gold is different to Gold ETF. [color=rgb(0,0,0);font-family:helvetica;]The main differences are:[/color]
1) Physical Delivery: Unlike ETFs where it provides appreciation over the value of gold,E-gold lets you take the physical delivery of the units if needed.
2) Tax Treatment:
E-gold units are subject to Long Term Capital Gains if held for a period of at least 3 years whereas for Gold ETFs the period is 1 year.
3)Separate Demat Acc:
Investing in E-gold requires a separate demat account to be opened with National Spot Exchange Limited (NSEL)
 
GENIE said:
17% average returns is nothing fanstastic...not good for trading either because the price does not move much

Gold prices per gram since year 2000.

If you got lot of money the safest and highest yielding investment is real estate.
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Not everyone has huge chunks of money to invest in property. It is a risky business plus one needs to have good contacts. Gold on the other hand is much safer specially since it has come in electronic form.
 
check out the gold charts of USA from 1980 to year 2010 The gold price was more than half of what was in 1980 after 20 years in year 2000.
it took 30 years to reach the 1980 price.
The price rise in india accelerated during that period only due to to rupee depreciation. if the rupee comes down to rs 45 now, gold prices will drop by 20 % more.
since last 12 years gold was in bull run and people forgot gold is only a hedge against inflation not an instrument for superior returns.
 
Ashish said:
since last 12 years gold was in bull run and people forgot gold is only a hedge against inflation not an instrument for superior returns.
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IIRC about 6-8 odd years back inflation was at its bottom here. Still gold kept rising. Ofcourse gold is driven by currency but its prices are also manipulated by federal banks to raise the value of currency. In long term gold will certainly be a great investment.
 

it took 30 long years to reach the levels of 1980 prices in U.S., Gold has seen historically major falls continuing for long years
It should only be a small proportion of one's assets not more than 10 % of the total assets
 
Although I am finally planning to open a demat account on Monday for ETF trading but I still feeling that gold isn't remained a good option for investment. Experts comment pls .
 
well, expert of this field(toocool) is banned. Wait until ibf get a substitute. -_-
 
you are correct when it comes to economics opinions differ even for economists considering the fact that it is more about predictions using history and the current data that we have.
 
Investing in government sponsored mutual funds, inflation indexed bonds, govt securities etc is the 'safest' way to invest, albeit with lesser (but guaranteed) returns.
Excess focus on gold not only harms and has harmed the economy, but also is an unpredictable commodity as proven by the recent slowdown. Had i spent 3lak rupees to and bought gold 3 months ago as an investment, i'd be weeping right now. Real estate is also tricky, but the returns are greater.
One way to be relatively safe is if you buy property(flats/apartments, 2bhk etc) by reputed builders, JP, Amarpali, DLF etc, and of course while considering development of areas around it, most importantly to look out for a school and a hospital nearby,
Just my two cents
 
no time is wrong to invest if u are investing for long time.
however u must invest in a systematic way instead of lumpsum.
just take a gold mutual fund (or ETF) with SIP facility (investing fix amount per month).
gold should be 10-20% of total investment.
 

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