According to sources in long-term, the gold as an investment option has given us good returns since ages. The metal is considered as a protection against erosion of purchasing power either to the exchange rate or inflation. Meanwhile, if we see past 15 years data, the gold has delivered 15% returns CAGR. Even after negative returns for past three consecutive years, the metal has given positive returns this year.
This year, a price correction in gold happened as the metal rallied by more than 20% over the past one year. This price correction, just before the festive season, has lifted the mood of jewelers and buyers in the bullion market. But, as we see the gold touching all-time high level on bullion market, will buying gold still be a good investment avenue?
Furthermore, with a good amount of footfalls at jewelry showrooms, jewelers are expecting this festive season to be better in terms of sales as compared to previous year. Globally also, we have seen a bullish trend in gold which will be intact in future with intermittent price corrections in between. Gold, as a long-term investment, still holds a lot of hope.