The days are getting hotter and you’re busy planning your next vacation. But what about your investments? If you’re a gold investor or you’ve been thinking about shifting some of your investments into gold, summer is the perfect time to do it. Summer is a great time to try your hand at investing in gold because it leads directly into one of the perfect times to cash in on gold.
When is the perfect time to cash in gold? Gold investors may wait years before they cash in on gold, or never. What many prefer to do is change their positions as the market fluctuates, increasing or decreasing their exposure to gold as the situation demands. Investing in gold is like investing in an insurance policy for your portfolio. When markets hit tough times, gold prices increase, helping you offset your losses on equities. Investing in gold before a market correction also means you have more capital to shift back into equities and get back into stocks at low prices.
But the big reason many gold investors choose to invest in gold at the start of summer is Indian Wedding Season, which has a major and predictable impact on global gold prices. October is the traditional wedding season for Hindus when up to 20 million weddings take place in India, brought on by a string of auspicious dates for matrimony on the calendar.
Gold plays a huge role in Indian weddings, both for ceremonial reasons and investments. Gold jewelry and clothing embroidered with gold are used extensively; brides will appear draped in gold for their wedding. In rural India in particular, where banking services are less available, gold jewelry (typically 22 to 24 karat gold bullion jewelry) is used as an investment and savings account. India is one of the world’s largest gold markets, second after China, and the fall wedding season is one of the most predictable events every year.
According to the Moore Research Center, gold investors who bought gold on September 15 and sold on October 8 would have earned profits from the trade 80 percent of the time for the last 15 years. Prices are often even lower in the summer, which is what makes it a great time to buy gold bullion. If you want to learn how to buy gold in Canada, buying in preparation for Indian wedding season is a great way to start.
When you start investing in gold, it’s important to know what you’re buying. With online gold dealers like Silver Gold Bull, you can buy gold in just about any form. That includes gold coins, gold bars, gold bullion jewelry, and collectibles. Just because gold bullion jewelry is being bought in India doesn’t mean that’s what you should buy.
Generally, investing in gold means you want to minimize costs. Gold bars as well as gold coins have a lower cost per ounce, especially when you buy higher quantities of them. With online dealers like Silver Gold Bull you can increase your savings by getting free shipping or buying gold through a retirement savings plan like an RRSP.
Buying gold at a lower price is the secret to cashing in when you invest in gold. Start looking for good deals on gold now and you can take advantage of Indian Wedding Season and increased demand for gold.