Is it wise to buy gold this Akshaya Tritiya?

Akshaya Tritiya, celebrated as an auspicious day to invest in gold, often sees a surge in gold purchases across India. But in 2025, with gold prices touching all-time highs, the big question for investors and buyers alike is: Is it wise to buy gold this Akshaya Tritiya?

Historical Returns and Gold’s Track Record

Let’s look at historical returns, market dynamics, and strategic considerations before you make that decision.

20-Year Performance Overview

Over the last 20 years, gold has delivered approx.15% CAGR, which is quite robust, especially in comparison with many fixed-income instruments and even some equity segments during market volatility. Gold has also acted as a hedge against inflation, currency depreciation, and geopolitical uncertainties.

Factors Supporting Gold’s Rise

Several factors have supported gold prices in recent years:

• Geopolitical tensions: Russia-Ukraine war, Israel-Palestine unrest, and US-China trade concerns.
• Inflation worries: Gold is a traditional inflation hedge.
• Global economic uncertainty: Fears of a recession and a weak global economic outlook.
• Central bank buying: Many countries, including India and China, have increased gold reserves.
• Currency depreciation: The weakening of the Indian Rupee against the US Dollar added to local gold price inflation.

Why You Should Consider Buying

• Tradition with benefits: Buying gold on Akshaya Tritiya is culturally symbolic and has proven profitable historically.
• Diversification: Gold acts as a portfolio stabilizer, especially during market downturns.
• Returns remain promising: With global uncertainties continuing and rate cuts expected in the US, gold may remain supported in the near term.
• Demand for digital and investment-grade gold is rising: More buyers are shifting toward efficient, value-oriented gold investments.

Price Alert: Highs Demand Caution

• Gold prices are near historical highs (₹96,000 per 10 grams), so bulk buying may not be advisable.
• A correction could occur if:
  o US-China tensions ease.
  o Interest rates rise unexpectedly.
  o Investors shift their focus back to risk assets like equities.

Smart Buying Strategy for 2025

Buy with a measured and strategic approach:

• Avoid large lump sum purchases: Instead, opt for staggered buying or SIPs in gold digital gold or ETFs.
• Use Akshaya Tritiya as an entry point: Start small with Augmont Digital Gold or gold mutual funds.
• Buy coins or smaller jewellery pieces: Avoid heavy making charges; focus on purity and resale value.
• Think long term: If you’re buying gold as an asset, not just a purchase, stay invested for 3–5 years.

Final Word

Akshaya Tritiya 2025 presents an opportunity to align tradition with smart investing. While prices are high, gold’s long-term track record, safe-haven status, and cultural relevance make it a viable addition to your portfolio. Just remember to balance emotional purchases with financial prudence—and consider buying in forms that add both value and flexibility.

The Bottom Line

In short: Yes, buy gold—but buy smart.

Recommended Portfolio Allocation

For a better risk-adjusted return portfolio, it is always advised to allocate at least 15-20% of the portfolio amount into Gold and Silver divided equally. The best way to start or stay invested in gold systematically is through Augmont Digital Gold SIP for better returns.

About SVAR Media Network:

SVAR Media Network, India’s Best Magazine & Media in Jewellery, stands as the Most Followed Jewellery Magazine & Media House in India. Recognized as Asia’s one of the Best Media in Jewellery & one of the World’s Best Jewellery Media, SVAR Media Network sets Unparalleled Standards in the Gems & Jewellery industry. Proudly holding the prestigious ISO 9001:2015 Certification, SVAR Media is the First Media Brand in the Gems & Jewellery industry to achieve this milestone, showcasing its commitment to operational excellence.

Pioneering innovations include the launch of the World’s First AI Anchor in Fashion, Gems & Jewellery with SVARA AI, India’s One of the First Gems & Jewellery Podcast, Asia’s First Meta Verified Media, the World’s Second, India’s 1st Meta Verified Media in the industry. SVAR Media Network is India’s No 1 Digital Media & continues to be the Leading Jewellery Magazine & a Global Leader in Jewellery Media

SVAR Media Network offers a diverse range of services, including: Monthly Magazines, Digital Newsletters, Al-Driven News Bulletins, Social Media Promotions, Website Blogs and Articles, WhatsApp Updates, Podcasts & more…