Despite the rise in the price of gold, the risks when investing in it as a commodity remain…
By Research Desk | Aug 16, 2011
With all the uncertainty and turmoil in global markets, is it still a good time to invest in gold or gold ETFs?- Jaskirat Baweja
The price of gold has been more or less unidirectional—on the rise, but this need be the case forever and the risks when investing in this commodity remain. We still hold the view that you should look at investing in gold ETFs over physical gold for the safety, convenience and liquidity. Moreover, gold should not occupy more than 5-10 per cent of your investments and should be considered only when the portfolio is well diversified and is looking at gold as a hedge and portfolio stabilizer.