Right time now to invest in gold: Experts
Amid melting equity markets, it is the right time to bet on gold, which is considered as a safe investment during crisis, say experts.business Updated: Nov 09, 2008 15:51 IST
Amid melting equity markets, it is the right time to bet on gold, which is considered as a safe investment during crisis, say experts.
"Many investors lost heavily on the equities and it also seems to be a threat in the real estate market. Now it is high time for people to invest in gold, which is the best return on investment option," World Gold Council Vice- President K Shivaram told PTI.
Gold is considered a liquid asset and investing in that would be wise because its value always increases with time, he added.
India is the largest importer and consumer of gold in the world. Indian gold consumption is between 700-800 tonnes a year, which is 25 per cent of world consumption. Interestingly, South India constitutes about 40 to 50 per cent of the country's total consumption.
Traders predict that if the current gold demand continues, the full-year consumption of gold in India could increase more than 10 per cent on year to 900 tonnes. Traditionally, gold demand peaks in the country during November and December, considered to be the season of festivals and weddings.
Shivram said gold retailers were doing good business throughout this year. "Especially over the last two to three weeks, the retail business of gold is doing better than expected," he said.