Gold Rate In Bihar

Indians have leaned on gold as a lucrative investment instrument for generations. The value of the US dollar and our Central Bank reserves have a significant impact on gold rates in India. During the Corona outbreak, Indians looked to gold as a safe haven due to its stability and security. The country's gold demand, which is the greatest in the world, has an impact on gold pricing in India.

Bihari people buy gold not only for investment purposes but also to adorn themselves with gorgeous jewellery. Gold is regarded auspicious in Hindu and Jain traditions, in particular. Gold decorations should be worn for major rites and occasions, according to the ancient lawgiver Manu. Aside from Diwali, one of the most important events on the Indian calendar, gold is used to commemorate regional festivals across the country: Akshaya Tritiya, Pongal, Ugadi, Durga Puja, Baisakhi, Karva Chauth and Gudi Pavda.

Gold is also important in more personal life events. It plays a significant role in weddings and other family ceremonies. In Indian tradition, giving gold as a gift is a deeply embedded aspect of marital rituals—weddings account for over half of the annual gold demand.

How can I buy gold in Bihar?

Physical gold, ETFs, Gold Funds, Sovereign Gold Bonds, and even Digital Gold are all great ways to invest in gold. However, owning physical gold is the most common and straightforward method of investing in gold.

Also Read: Gold Rates in Major Indian Cities

Where can I buy physical gold in Bihar?

Physical gold is available in the form of jewellery, coins, and bars. Physical gold can be purchased in Bihar at the following locations:

• All the major jewellers sell gold jewellery, coins, and bars.
• You can have gold coins stamped and sealed at specified post offices.
• Gold coins and gold bars are sold by the majority of public and private sector banks.

When you buy gold from a jeweller or a bank, you will be charged a processing fee or wastage fee in addition to the price of the gold. This could be charged as a percentage of the gold rate, and the fees can be fairly large. For gold coins or gold bars, jewellers charge roughly 8%-10% of the gold rate as making charges. This is substantially higher in the case of jewellery. Making expenses for some exceptional jewellery pieces might reach up to 25% of the entire gold weight of the piece.

You won't get the making charges back if you sell or exchange these jewels. They will only take the weight of the gold jewel into account when determining the selling price, resulting in a significant loss for the customer. If you're looking to invest, gold jewellery isn't the best option. You should invest in gold mutual funds or exchange-traded funds (ETFs).

What are Gold Exchange-Traded Funds (ETFs)? How can I invest in them?

Investing in a Gold ETF is similar to buying stock. Physical gold is represented by gold ETFs, which are paper or dematerialized units. A Gold ETF is an exchange-traded fund (ETF) that tracks the domestic physical gold price. They are gold-based passive investment products that are based on gold prices and invest in gold bullion.

Individuals in Bihar who want to invest in gold can do so by acquiring Gold ETFs. These investments can be made quickly and easily using the internet. It has completely transformed the way people buy gold and invest in gold in Bihar. They're gaining popularity since they have a lot of advantages over buying genuine gold jewellery or coins. Trading in ETFs, on the other hand, necessitates the opening of a trading account and incurs a fee in the form of brokerage, which is often a percentage of the investment. It's possible that you'll be taxed for keeping the gold in the bank vault.

Because of the instrument's high liquidity and ease of trading, gold ETFs are popular among investors. To trade gold stocks, however, you'll need a high-risk tolerance as well as knowledge of gold as a commodity and stock markets in general. Gold prices, like all other commodity prices, fluctuate due to a variety of factors, mandating continuous monitoring and the ability to assess market inflections.

Is it safe to invest in gold mutual funds?

Gold Mutual Funds are a safer way to invest in gold. The fund invests in the equities of companies that are involved in gold and gold-related activities. Gold mutual funds' investment portfolios also contain silver, platinum, and other metals. To maximize investor returns, the fund manager uses fundamental trading research to buy and sell equities. Market factors have an impact on gold fund returns to some extent. Gold mutual funds greatly lower the risk of returns by dividing assets among a variety of investment options.

Additional Read – Mutual Funds investment in India

Low-Risk, High-Returns: Sovereign Gold Bonds

In recent years, Sovereign Gold Bonds (SGBs) has been making the rounds in the investment community. Recent market volatility and uncertainty in the worldwide market have had a substantial impact on international gold rates. Gold investors have traditionally considered SGBs to be the safest investment option.

The RBI issues SGBs on behalf of the government. India is an Indian country. They have an 8-year duration and pay a guaranteed yearly interest rate of 2.5% till maturity. You can withdraw the bond as money equivalent to the current market rate of the gold you own or as actual gold when it matures. This is a wonderful alternative for those searching for long-term gold investments because of the stability that gold investing provides.

Snapshot of different gold investment options available in Bihar

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