INSUBCONTINENT EXCLUSIVE:
Gold is the right commodity to allow investments to beat inflation and stay ahead.Investment in gold is often considered as a means to bring
financial security in one's portfolio
This is because traditionally, investing money in gold works as a hedge against inflation over a period of time, say experts
According to news agency Reuters, gold prices on the Multi Commodity Exchange have jumped more than 11 per cent in the past six
months.Here's what experts say on gold investment at the current juncture:Many experts believe that it is safe to invest in gold at the
"Seeing the political situation globally, tightening demand supply balance of crude, and the trade deficit that major economies are facing,
gold will surely strike back in demand," said Dinesh Rohira, CEO and founder at 5nance."In a scenario where the performance of equity
markets looks uncertain, gold will be an instrument that will provide a perfect hedge to the inflation," he said.Others are positive on gold
from a medium-term perspective.According to Gaurav Katariya, research head (commodity), Arihant Capital Markets, it is a fine time to invest
in gold for a mid-term of say three to six months
"One should compulsorily have an investment portfolio in gold so that the risks associated with regular investments in equity, currency,
real estate or mutual funds could be hedged to an extent.""Gold as an investment avenue will remain very much in the reckoning, with market
participants cognizant of the fact that global macro numbers are turning soft," said Hitesh Jain, vice president, Yes Securities.How should
you plan your gold investmentMr Rohira recommends having gold as a part of debt portfolio with an exposure of up to 10-15 per cent over a
time horizon of 2-3 years.Meanwhile, many experts prefer gold investment in electronic form over physical form, a method often preferred by
the traditional investor.Here are five types of gold investments available today:E-gold: Electronic gold or e-gold enables investors to
invest their funds into gold in smaller denomination and hold it in a demat (dematerialised) form
It provides benefits like flexibility of buying.Gold Monetization Scheme (GMS): GMS is intended at mobilizing gold held by households and
institutions of the country and facilitating its use for productive purposes
2015, the SGB comprises government securities denominated in grams of gold
They are substitutes for holding physical gold
Investors are required to pay the issue price in cash, and the bonds are redeemed in cash on maturity
The bond is issued by Reserve Bank of India (RBI) on behalf of government.Gold Exchange Traded Funds (ETFs): Gold ETFs are similar to mutual
government to manufacture India Gold Coins (IGC) with Ashok Chakra and supply these coins to the domestic market, according to the central
