by Sathvik Nagraj | Feb 16, 2023 | Digital Gold
Digital gold has become an increasingly popular investment option with many investors looking for convenience and freedom from traditional banking services. Whether Digital gold is safe or not is up fro a number of debates. While digital gold may offer a number of potential benefits, it’s important to consider the risks associated with digital gold investments before taking the plunge. So, how safe is digital gold investment?
In this article, we’ll explore digital gold safety and security. We will also look at how digital gold is secured against fraud, theft or other malicious activities.
The Advantages of Investing in Digital Gold
There are many benefits to investing in digital gold. Some of these benefits are:
Security
Digital gold is secured by digital encryption, which ensures that it can only be accessed and used by authorised individuals.
This digital encryption is based on public key cryptography, which uses digital tokens and digital signatures to verify the identity of users.
Safety
To further protect digital gold from fraud, theft or other malicious activities, digital wallets and digital exchanges are secured with stringent authentication measures.
Protected
Digital gold is also insured against digital currency-related losses, which provides an additional layer of protection for digital gold investments.
Convenience
When compared to traditional banking systems, digital gold offers a level of convenience and accessibility that isn’t available through conventional banking services.
It requires less paperwork and has fewer regulations, making digital gold a more accessible option for those who want to make digital currency investments.
Diversification
Digital gold also offers users the freedom to diversify their portfolios across different digital currencies without having to rely on traditional banking systems.
This allows investors to take advantage of digital currency investment opportunities without being limited by the availability of digital currency trading options offered by traditional banks.
Electronic Gold over Physical gold?
Digital gold can offer a number of advantages over physical gold as an investment.
For example, digital gold is more secure and convenient than physical gold. It also provides investors with the opportunity to diversify their portfolios across different digital currencies.
When compared to physical gold, digital gold is more secure and less vulnerable to theft or fraud. Digital gold is also insured against digital currency-related losses, offering an additional layer of protection for digital gold investments.
The Disadvantages of Investing in Digital Gold
Even though investing in digital gold has a number of benefits, there are also risks involved with the same. Some of them are:
Hacks and Security Breaches
Although digital gold is protected by digital encryption and stringent authentication measures, there are still risks associated with digital gold investments, such as potential hacks or security breaches.
Volatility
The value of digital currencies can be volatile, and digital gold investments are not exempt from this risk. Investors should consider the potential risks associated with digital gold investments before making any decisions.
Regulation Risk
Digital gold is not regulated in the same way as traditional banking systems. Hence, investors may face additional risks due to digital gold’s lack of regulatory oversight.
Takeaways!
Overall, digital gold offers investors a secure and convenient way to invest in digital currency. It is protected by digital encryption and insured against digital-currency related losses. This provides an additional layer of security for digital gold investments.
However, it’s important to consider the risks associated with digital gold before investin. Risks include potential hacks or security breaches. It is also important to understand that its value can be volatile.
By understanding both the pros and cons of investing in digital gold, you will be able to make an informed decision about how safe is digital gold as an investment.
by Sathvik Nagraj | Feb 16, 2023 | Investment
Digital gold and physical gold are two popular investment options in India, but they come with their own set of advantages and disadvantages. It’s important to understand the differences between Digital gold Vs Physical Gold.
Here are some pointers to consider when comparing digital gold and physical gold:
Have you ever been in a jewellery store and felt overwhelmed by the options? You want to purchase that enormous piece of jewellery, but you cannot locate the necessary funds in your pocket. Or perhaps you don’t want to spend money on making charges. You are probably afraid of its cleanliness or the possibility that it will become impure in the future. You then wish that purchasing the yellow metal might be done more simply.
This is where electronic gold, sometimes known as digital gold, comes in.
Comparing Digital Gold Vs Physical Gold
The topic of Digital gold vs Physical Gold has been debated for long, especially by investors. Here are a few factors which compare the two. (Read our article on the safety of digital gold here.)
Convenience:
Digital gold is easy to buy and sell, and can be done from the comfort of one’s home. Transactions can be done quickly and easily, and there is no need to physically store or transport the gold. Some of the best digital gold investment apps are JAR, mobikwik, Paytm etc.
Physical gold, on the other hand, requires the physical possession of gold in the form of coins, bars, or jewellery.
Liquidity:
Digital gold can be traded 24×7, unlike physical gold which is available during specific working hours.
Physical gold has a wider market compared to digital gold, which can limit the options for selling or trading.
Purity:
Physical gold is often sold with a purity certificate, which guarantees the quality and purity of the gold.
Digital gold, however, may not have the same level of guarantee, and it is important to research and choose a reputable platform or app to buy digital gold from.
Taxes:
Physical gold is subject to a making charge, which is a percentage of the value of the gold.
Digital gold is subject to GST at the time of purchase.
Additionally, physical gold is also subject to wealth tax if the value of the gold exceeds a certain limit.
Tangibility:
Physical gold is a tangible asset that can be held, stored, and even used as collateral for loans. It provides a sense of security and control over one’s investment.
Digital gold, on the other hand, is stored electronically, it’s a digital representation of physical gold.
Where does Digital Gold win?
- In terms of convenience, digital gold is a clear winner. Transactions can be done quickly and easily, and there is no need to physically store or transport the gold.
- This makes it an attractive option for many investors who are looking for an easy and convenient way to invest in gold.
- Additionally, digital gold can also be traded 24×7, unlike physical gold which is available during specific working hours.
- When it comes to taxes, physical gold is subject to a making charge, which is a percentage of the value of the gold, while digital gold is subject to GST at the time of purchase.
- Additionally, physical gold is also subject to wealth tax if the value of the gold exceeds a certain limit.
Where does Physical Gold win?
- Physical gold, however, has certain advantages over digital gold. It is a tangible asset that can be held and stored securely, which provides a sense of security and control over one’s investment.
- Additionally, physical gold can also be used as collateral for loans and can be sold or pawned in case of an emergency.
- When it comes to liquidity, physical gold has a wider market compared to digital gold, which can limit the options for selling or trading.
- Additionally, the price of digital gold is also dependent on the platform or app from which it is bought, and can vary from platform to platform.
- Another important aspect to consider is the purity of gold. Physical gold is often sold with a purity certificate, which guarantees the quality and purity of the gold. Digital gold, however, may not have the same level of guarantee, and it is important to research and choose a reputable platform or app to buy digital gold from.
- Digital gold buying apps like JAR, Paytm and Safegold come a long way.
Conclusion:
Both digital gold and physical gold have their own set of advantages and disadvantages. It is worth investing in digital gold as well as physical gold. Physical gold offers the security and control of a tangible asset, while digital gold returns convenience and liquidity of a digital asset.
Ultimately, the choice between the two will depend on an individual’s investment goals, risk tolerance, and personal preference. It also depends upon the price of digital gold and physical gold. The topic of digital gold vs physical gold is debated until today and a lot of investors have contradicting views on the same.
Jar is a microfinance digital gold investment app which helps you save and invest in digital gold. It invests spare change from your regular everyday transactions. It is one of the simplest and fastest ways to grow your wealth using digital gold.
With Jar, buying digital gold is a much simpler and streamlined process. You can buy and sell digital gold starting from just rupee 1! So, what are you waiting for? Start your journey towards wealth with digital gold today with JAR!
by Sathvik Nagraj | Feb 16, 2023 | Investment
“Compound Interest” or “The compound effect” is something that we have all learnt in math class in school. It is widely regarded as one of the most underrated concepts of learning by people all over the world, especially investors. A story like “If you had bought this in the year 1950, it would be worth millions today” is one that most of us have heard and we fill ourselves with regret upon hearing it. One such instrument that provides justice to that story is the story of return on gold.
Investing in gold has been a reliable form of investment in India since ancient times. Itremains popular even today. Gold is an attractive asset due to its stability and potential for high returns.
The returns on gold depend on the prevailing market conditions. Hence, understanding the average return on gold per year over 10 years can help investors make informed decisions when investing in this precious metal.
In this article, we’ll explore what the average return on gold per year has been in India, as well as the gold return over 10 years. Additionally, we’ll look at how to calculate estimated gold return per year and discuss some tips for making wise investments with your money.
Finally, we will consider the benefits and risks associated with investing in gold before concluding with thoughts about why it continues to be popular despite its volatility.
Also check out our article on the benefits of investing in digital gold here.
Average Return on Gold per Year in India
- The average return on gold per year in India fluctuates significantly depending on the market conditions.
- As a precious metal, its value is determined by supply and demand, which makes it an extremely volatile asset.
- For example, in 2020, gold prices increased to Rs. 50,000 per 10 gram due to the economic uncertainty caused by the COVID-19 pandemic.
Gold Returns in Last 10 Years: What Can We Expect from the Market Conditions?
- The gains in gold over 10 years is an important indicator when considering investing in the asset class. Over the past decade, gold has returned an average of 7.74% per year in India.
- This rate of return far exceeds most other assets and suggests that gold is a viable investment option.
- When predicting gold returns over a 10-year period, it is important to consider the factors that can affect the price of gold. These include changes in economic conditions, geopolitical events, government policies and supply and demand levels.
How to Calculate Estimated Gold Return per Year?
- Calculating estimated gold return per year is an important step in understanding the average returns that you can expect from gold investments.
- There are several methods for doing this, and the most popular is called the gold price delta method. This method uses the difference between two dates’ gold prices to calculate the estimated yield.
- For example, if on January 1st 2021, gold is trading at Rs 50,000 per 10 gram. A year later, on January 1st 2022, gold is trading at Rs 55,000 per 10 gram. Then you can calculate an estimated return of 10% for that year.
- This method provides investors with a reliable gauge for assessing the potential returns gold investments may offer.
Conclusion
In conclusion, gold is still a popular investment option today due to its potential for high returns and stability. The average yield on gold per year in India has been around 7.74% over the past decade. This makes it an attractive asset class despite its volatility.
Investors should use methods such as the gold price delta method to calculate estimated gold return per year before investing their money.
There are associated risks with any form of investment. Understanding these can help you make informed decisions when considering investing in gold for future rewards!
by Sathvik Nagraj | Feb 15, 2023 | Investment
India is home to 25000 tonnes of gold and every Indian household is an enthusiast for the yellow metal and the demand increases day by day. Not everyone knows the various ways to invest in gold in India. This article will provide a brief on the best ways to invest in gold in India.
Have you ever wondered if there is enough gold for such a large country? A country of 1.4 billion people, where we call ourselves the most populous country in the world. Has it ever occurred to you if there is enough gold available to every citizen of the country? Remember what we learnt in school, gold is a finite resource.
Gold has long been a reliable form of investment, with its value increasing over time. With the right knowledge and strategy, investing in gold can be an excellent source of financial security for many investors.
In India, there are various types of gold investments available and digital options for those looking to purchase gold without having to physically handle it.
This article will explore these types of investments as well as provide tips on how to make wise decisions when it comes to investing in this precious metal. So whether you’re just getting started or already have some experience with investing in gold, read on to get the information you need!
The Best Types of Gold Investments in India
Here are some of the best ways to invest in gold in India.
Coins and Bars
The most popular types of gold investments in India are coins and bars, which can be bought from authorised dealers.
Coins are usually minted in denominations of 1g, 5g, 10g, 20g and 50g. Bars can range from 1g to 500g or more.
Mutual Funds and ETFs
Gold-related mutual funds and exchange traded funds (ETFs) are one of the best ways to invest in gold without having to physically handle it.
This type of investment is ideal for those who want to benefit from the long-term appreciation potential of gold. It helps enjoy liquidity and portfolio diversification.
Digital Gold
Digital gold is a new and convenient way to invest in gold, without having to physically own it. You can buy, sell, or redeem digital gold online using a variety of platforms. There are ample number of platforms available to invest in digital gold.
This type of investment is ideal for those who want the convenience of buying and selling gold online. You don’t have to worry about storage or security.
How to Invest in Digital Gold in India?
- Understand the various methods of digital gold investments available in India.
- Research and compare different platforms that offer digital gold investment services.
- Create an account with a platform to start investing in digital gold.
- Fund your account with money to be used for purchasing digital gold.
- Choose how much you would like to invest. Select the type of digital gold you want to purchase (e.g., coins, bars).
- Monitor your investments regularly and make sure they are performing as expected.
- Withdraw or sell your investments when it’s time to cash out. Take profits from them afterwards.
Conclusion
Investing in gold is a great way to ensure long-term financial security and stability. With the types of investments available, from coins and bars to digital options, there are plenty of ways for investors to get started with investing in gold.
By understanding how each type works and researching different platforms that offer these services, you can make wise decisions when it comes to your investment choices.
With the right knowledge and strategy, investing in gold could be an excellent source of financial security for many people today!
by Sathvik Nagraj | Feb 15, 2023 | Investment
When you look at your friend’s finger and notice that elegant, lustrous piece of jewellery with a grand 25-carat diamond stone on top, what is the first thing you think of? “ Arrey Iska keemat kitna hoga” which translates to “How much would this have cost?
So, calculating the value of a gold ring in India, How is it done?!
How much does a gold ring cost in India? Let us examine the factors!
Also check out our article on understanding the returns on gold.
What influences the Calculation of the Value of Gold Rings in India?
When it comes to calculating the value of a gold ring, there are a few factors to consider.
Weight
Calculating the value of a gold ring in India depends on one of the most important and obvious factor, that is the weight of the gold used in the ring.
The price of gold fluctuates based on market conditions, so the cost of a gold ring will vary depending on the current price of gold.
However, as a general rule of thumb, the heavier the gold, the more expensive the ring will be.
Design
Calculating the value of a gold ring in India also depends on another factor that is the design and craftsmanship of the ring.
A simple, minimalist design will typically be less expensive than a more elaborate, ornate design.
Similarly, a ring that is handcrafted by a skilled artisan will be more expensive than a mass-produced ring.
Purity
The purity of the gold is also an important factor to consider while calculating the value of a gold ring.
Pure gold is 24 karat, but most gold jewellery is made from 18-karat gold or 14-karat gold. 18-karat gold is 75% pure gold, while 14-karat gold is 58.3% pure gold.
The higher the karat, the higher the gold content, and therefore the higher the price.
Medium of purchase
It’s also important to note that gold rings can be purchased at different places like a jewellery store, online store or a goldsmith.
Jewellery stores generally have a higher price than goldsmiths because they have to cover their operational costs as well. Online stores often have lower prices than both because they have lower operational costs.
Region
Furthermore, the price of gold rings may also vary based on the region of the country you are in. In general, gold rings will be more expensive in urban areas such as Mumbai or Delhi, compared to more rural areas.
How much is a Gold Ring going to Cost you?
Gold rings for women in India can vary greatly in price. Calculating the value of a gold ring in india depends on the weight, design, and purity of the gold used.
A simple, minimalist 18-karat gold ring weighing 2 grams can cost around Rs. 12,000, while a more elaborate, ornate 14-karat gold ring weighing 5 grams can cost around Rs. 35,000.
The Best Places to Buy your next Gold Ring
Here are some of the best options in India to buy your next Gold Ring:
Tanishq
Tanishq is one of the largest and most well-known gold jewellery brands in India. It is known for its exquisite designs, superior craftsmanship, and high-quality gold.
It offers a wide range of gold rings in various styles, designs, and price ranges.
Kalyan Jewellers
Kalyan Jewellers is another popular gold jewellery brand in India, known for its beautiful designs and quality craftsmanship.
It offers a range of gold rings for every occasion, from simple designs to elaborate and ornate pieces.
Malabar Gold and Diamonds
Malabar Gold and Diamonds is a leading gold jewellery brand in India, with a wide range of gold rings in various styles and designs.
It is known for its high-quality gold and intricate designs that cater to different tastes and budgets.
PC Jeweller
PC Jeweller is a well-known gold jewellery brand in India that offers a range of gold rings in traditional and contemporary designs.
It is known for its excellent craftsmanship, high-quality gold, and transparent pricing.
Joyalukkas
Joyalukkas is a popular gold jewellery brand in India, known for its exquisite designs and quality craftsmanship.
It offers a range of gold rings in different styles and designs, including simple bands and ornate designs with diamonds and other gemstones.
Senco Gold and Diamonds
Senco Gold and Diamonds is a popular gold jewellery brand in India that offers a range of gold rings in different styles and designs.
It is known for its high-quality gold and diamonds, and its commitment to transparency and fair pricing.
Conclusion
Gold rings are a popular choice for women in India, not only for their beauty and elegance but also for their cultural significance. Whether it’s for a special occasion such as a wedding or a religious ceremony, or simply as a fashion accessory, gold rings hold a special place in the hearts of many Indian women.
It’s important to keep in mind that the price of gold fluctuates based on market conditions, so the cost of a gold ring can vary over time.
Additionally, the price may also vary based on the region of the country you are in and the place where you are purchasing the ring. The value of a gold ring is calculated depending on various factors like weight, design, purity, medium of purchase etc.
