Gold has always been one of the most popular forms of investment. The obsession with buying gold goes a long way in history. Investors race to the yellow metal in a flight to quality, as a means to protect wealth, a hedge against inflation and as an insurance against extreme movements in other asset classes.
Buying Gold – Tradition Becomes a Trend
This tradition of doing something new – either business, charity, purchase of land, investment, etc. was initiated as a trend. Some jewelers also cashed in on the trend and also used it as one of the reasons for encouraging customers to purchase ornaments or jewellery. This trend is also spreading to other sectors like real estate, cars, computers, etc.
How many of you have heard about Akshaya Tritiya 5 years ago (prior to 2007)? Very few might have even heard of such a term. Its only in the past few years that this trend has caught up.
How many people in India knew about Valentine’s Day about a decade back? Some people might have heard and few would know its significance. Valentine ’s Day is also a trend created to boost the sales of greeting cards, gifts, chocolates, etc. Earlier retailers were dependant on Christmas and New Year and a few other occasions. Now after the Christmas/New Year season, the Feb 14 day provides another season for them to cash in.
The trends discussed above may favor the retailers or sellers rather than end-consumers like you and me. Similarly Akshaya Tritiya was also tried and tested and has now established its importance even in today’s modern tablet PC times.
Should you Invest in Gold on Akshaya Tritiya?
Not necessarily. Now, coming to the main point, I am not trying to debate or question whether buying on Akshaya Tritiya is good or not. However, its not a good idea to buy only during Akshaya Tritiya.
You should have a proper strategy in place and buy when gold prices are attractive – irrespective of whether the day is auspicious or not. However, I am not against the tradition or people who follow it, so for them I have some advice below:
If traditions/rituals are important: For those who still want to follow the tradition or rituals relating to Akshaya Tritiya, I would recommend the following:
- Make a small token purchase/investment on the auspicious day
- The remaining purchases or buying can be done when prices are attractive.