Akshaya Tritiya is a spring festival celebrated annually by Jains and Hindus. The day falls on the third day of Shukla Paksha of the Vaisakha month according to Hindi calendar. According to religious believes, it signifies the third day of unending prosperity. Akshaya Tritiya is also considered as an excellent day to get married or to make new investments like gold and property. Akshaya Tritiya 2020 falls on April 26, this year. Here’s everything that you need to know about buying gold during Akshaya Tritiya 2020.
Mr Narang, who is the Chief Economist of Bank of Baroda, informed a daily that with so much liquidity by the US Fed, gold is likely to continue to be an attractive asset in the near future. He did mention that no portfolio is reportedly immune to the coronavirus pandemic massacre on the stock exchange. Till the time US Federal Reserve does not reverse its monetary policy, gold prices will hold up. According to the expert, gold will deliver returns at a moderate rate and do well in periods of uncertainty.
Another expert, Amol Joshi, Founder of Plan Rupee Investment Services, reportedly said that when equities have fallen, the debt has seen volatility and hence investors are seeking comfort in gold. Hence, this Akshaya Tritiya 2020 gold price has over making it more appealing to the investors. He further added that gold can be a part of asset allocation but does not extrapolate recent performance in the future.
Returns for gold cannot be predicted just like equities or any other asset class, Joshi said. One must add gold to the extent of their asset allocation. It is a good diversification, he added. He also said that one shouldn’t buy gold is they are just chasing past returns, from that point of view there might be a disappointment, he said.
Hence before buying gold this Akshaya Tritiya 2020, one should know that the gold proportion in one’s overall investment portfolio needs to seen in the light of your financial goals, returns expectations, liquidity needs and risk appetite, Amol said. There is no harm in buying gold this Akshaya Tritiya 2020 as it is good diversification, said the expert.