New Delhi: Since ancient times, gold has been a major measure of wealth. This applies not only to India but to all countries around the world. At that time, trade was transacted through gold coins. In most battles, the victorious kings kept an eye on the gold reserves of their opponents. Even ordinary families would make every effort to buy gold jewellery. Centuries have changed, but the importance of gold has not.

Even today, gold is considered the most effective weapon against inflation. Central banks around the world have also increased the purchase of gold in recent times. Ordinary families still consider gold to be the king of bad times, because you can sell it or mortgage it and get cash anytime. You can meet your and your family's expenses.

Let us know why the price of gold keeps increasing with time even after centuries. Why is it necessary to invest in gold even in the era of stock market and mutual funds and what are its benefits.

Benefits of investing in gold

Earlier, the only options for investing in gold were coins and jewellery. But today, both physical and non-physical options of gold are available. If you are buying gold for investment, then digital or non-physical gold may be better for you. It is also very easy to store it.

Why invest in gold

Gold has always been considered the safest investment. Even today you will see that with the increase in geopolitical tensions and economic uncertainty, both the demand and price of gold increases. This is the reason why the share of gold in your entire investment portfolio should be around 10-15 percent.

Helps reduce risk

Even though you get strong returns from the stock market and mutual funds, there is also a fear of a big fall in them. Sometimes the recession in the stock market lasts for years. When the equity and debt markets are in a bad shape, investing in gold can handle your portfolio. This helps in reducing the risk.

Why does the price of gold increase

Gold is the best hedge against inflation. Its value keeps rising with the cost of living. This trend has been going on for centuries. The reason for this is that demand always exceeds supply. It is used a lot in jewellery, hedging and industrial purposes. This prevents a sudden drop in the prices of gold.

How to Buy Gold

Always buy gold from reputed and authentic jewelers.

Before buying, definitely check the hallmark mark on the gold.

Before investing in gold, keep an eye on market fluctuations.

Opt to buy gold during market dips.