Nilesh Shah On Gold @KotakSecurities #KotakMidCapMeet15


wealthymattersPaper Investors have a fundamental difference in thinking from those who prefer tangible assets.
His argument is that as India is the only buyer of gold, the day we all wish to sell, we will find no buyers offering a good price. Banks are prohibited by law to buy-back gold and jewelers have stocked up gold on credit.
My understanding is that, gold sold at the time of large scale distress, such as war or its aftermath, might not get us a good price in any given currency, but gold is “money” that is directly exchangeable for goods and services.
Buying gold is a statement on non confidence in the currency of any given country. And the establishment that devalues it.

 

And in anycase, Mr Nilesh Shah is wrong on fact. Indians are not the only buyers of gold.

The Immediate Future Of Gold


Gold Price Prediction

So Why Do We Indians Buy Gold?


  wealthymatters.com

Losing Money On Gold


wealthymatters.com

The price of gold has tripled in the last six years, giving investors an annual compounded return of nearly 20%. Compared to bank deposit returns of 8% a year and a volatile equity market, it is hard to argue with proselytizers of gold. But gold hasn’t always appreciated year-on-year. In the four years between 1988 and 1992, the price of gold fell every year. Again, between 1994 and 2001, gold prices declined year-on-year. Indeed, in the quarter century between 1980 and 2005, investors in gold lost 11.74% of their capital. The present rise in gold prices, which took off after the Lehman Brothers’ collapse in 2008, may reverse. These are the facts to remember,as you try to decide whether to keep your gold or sell.

Bullion India


wealthymatters.comHere is my new discovery for today:Bullion India.I tried it out today and found the sign up easy and customer service good.I find it an excellent way to buy gold and silver at good rates.Given the tiny units in which you can buy the gold,it is the place to go to make token purchases on auspicious occasions when the prices of precious metals generally rise.Also this site is an excellent way to accumulate precious metals a little at a time as there are no storage costs and commissions.

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