Gold is Old: Thirteen Reasons Not to Invest in Gold (Dhanteras Special)
[A] Introduction: Dhanteras is an auspicious day to buy gold. Many people buy on this day. Gold, as we all know, is considered a safe heaven for the risk averse investors. Physical gold, in particular, is loved by the Bhartiyas in general. But, then, as an investor, one should never fall in love or hate any asset class, including gold. As many people rightly write about why one should invest in gold, I thought, let me try and educate my readers about why not to invest in gold! Every coin (including the gold coin) has two sides, you know! [B] Reasons Not to Invest in Gold: 1. As one Economic Times article* notes, gold is a volatile asset class and only rewards the investors in long run only. For example, the returns of gold from 2013 are 7% only. It is only in long run that the gold becomes rewarding like 15-20 or even 25 years. It is only in very long term that gold gives a double digit return. Compared to that, the equity provides far more better returns to someone, who is ...