Buying gold on the occasion of Diwali has been tradition for ages now. People in the north especially make sure that they buy some gold on the day of this festival. If not in huge, they buy at least a gram.

Well, not many like investing in gold. But is it really a good idea to do? Here is what the experts say.

“Adding some amount of gold to your portfolio can act as a hedge against market volatility and help you reduce your losses. So, while the place of gold in your portfolio cannot be discounted, buying physical gold in the form of jewellery and rationalising your purchase as an ‘investment’ might not offer you the best return on investment. This is because buying gold jewellery involves making and wastage charges that are not considered at the time of resale, thereby diminishing your returns. With about 15% additional cost for “making” of gold jewellery, the intrinsic cost of the same rises significantly if you are looking at gold from the investment perspective.”

Buying gold can always be a good investment and something that we all can rely on when in need.