Invest Smartly in Gold on Gudi Padwa

Celebrated in the spring season, Gudi Padwa is an important festival of Konkani and Marathi Hindus. It marks the traditional new year for them according to the lunisolar method. Interestingly, New Year’s Day is celebrated on the same day as Putthandu in Tamil Nadu, Ugadi in Karnataka and Andhra Pradesh, and Cheti Chand of the Sindhi community around the world.

It is common to see numerous Gudi arrangements in every household that celebrates the festival. A yellow cloth is tied to the top of a pole and decorated with strings of sugar crystals along with garlands of flowers and mango leaves. A silver or copper vessel is placed in an inverted position atop the pole. This is the ‘Gudi’ that adorns the entrance of homes at this time.

Gold and Gudi Padwa: A timeless tradition

Festivals are considered an auspicious occasion to buy gold in Hindu tradition. Gudi Padwa is no different, and buying gold on this auspicious day is believed to bring prosperity and wealth. People buy different types of traditional gold jewellery on this day but the Maharashtrian nath or nose jewellery is one of the community’s most prized possessions, and Gudi Padwa is a good day to invest in these.

Apart from gold being a store of value, it is also considered a safe haven. This is because inflation rears its head during uncertain times, which reduces the value of paper currencies. Gold, on the other hand, cannot be devalued like the currency. So, the yellow metal can effectively protect the portfolio against inflation.

How to invest in gold this Gudi Padwa

Jewellery is the most popular form of gold that is purchased during Gudi Padwa. one’s investments is to purchase gold bullion in the form of coins or bars. Physical gold – in the form of both jewellery and bullion – offers protection in the event of a financial crisis.

Another option that attracts the newer generation is gold exchange-traded funds (ETFs). Gold ETFs also allow ease of investment and offer tax benefits.

Gold mutual funds are open-ended schemes that invest in units of gold ETFs on the investor’s behalf. Equity-based gold funds, on the other hand, are funds that invest in the equity of gold mining companies.

As with most traditions, the practice of purchasing gold during festivals has an underlying rationale. Cultivating a healthy investmenthabit and owning an asset with high liquidity such as gold can offer great financial security during uncertain times – in addition to assured returns.

So, this Gudi Padwa, instead of buying gold the same old traditional way, consider buying it the new-age way. Go digital and claim the benefits of digital gold..

Pinky Singh is an experienced content writer. She finds much interest into writing articles on subjects like business opportunity, startup stories & so on.