The risk of global recession is looming, with the global economy expected to experience a recessionary environment in 2023. According to the World Gold Council, gold typically fares well during recessions and has delivered positive returns in five out of the last seven recessions*. Gold has long been regarded as a valuable asset in times of uncertainty. Interestingly, it has historically generated long-term positive returns in good and bad times.
As of January 20, 2022, gold price was hovering around Rs 48,500 per ten grams, while on January 20, 2023, the price was around Rs 56,777. Over the past 12 months, gold generated 17% in returns (13.5 per cent annualized return over 60 months). The outlook for 2023 appears promising amidst the global macro-environment and geopolitical events.
Digital gold Vs physical gold
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Digital gold Vs physical gold
If investing in gold to meet your long-term financial goals is the objective, buying digital gold over physical gold is a smarter idea. Here’s why:
| Point of difference | Digital gold | Physical gold |
| Convenience | You can buy/sell it from the comfort of your home or office. | You must visit jewellers and face the inconvenience of travelling to a physical location for the purchase. |
| Purchase | You can invest as low as Rs. 1. | Investment requires a larger sum as it is mandatory to buy a minimum quantity (1gm). |
| Charges | Involves no making charges. | You must pay the jewellery-making charges when buying physical gold. |
Once you decide to buy digital gold, making a safe and secure investment in digital gold should be your top priority. If you are an Airtel Payments Bank account holder, you need not look further! Airtel Payments Bank has partnered with SafeGold, the leading provider of digital gold, to offer Digi Gold.
The entire process of purchasing and managing your gold portfolio is possible online, making it extremely convenient. When it comes to the gold price for buying and selling, you get an internationally competitive price on your transaction. Additionally, you can always keep a tab on the value of your gold holdings in your portfolio as well as the current gold price.
Purity
Airtel Payments Bank, in association with SafeGold, assures a 24K 99.5% gold purity. Hence, there are no compromises on the quality and authenticity of the gold you receive.
Safety
Your gold is stored in 100% insured and secure Brink’s vault at no extra charge. Furthermore, wallet purchases provide added security and eliminate the risks of financial fraud.
Gifting
Gold is among the most thoughtful gifts, one that gets more valuable over the years. Digi Gold can also be gifted to family and friends.
Buying digital gold
If you are looking for an intelligent and low-risk investment solution, digital gold is an ideal choice. Airtel Payments Bank makes buying and selling digital gold seamless and secure. Moreover, you can set up your Airtel Payments Bank account online with the ease of a video call and switch to a safest digital account for all your smart investments.
Holding Digital Gold in your investment portfolio is an excellent way to add much-needed diversification. With Digital Gold, you can be assured that your asset allocation is well thought out, with adequate exposure to gold to cover any volatility in your investment portfolio. Therefore, investing in digital gold with Airtel Payments Bank‘s Digi Gold is a prudent financial decision that you can make in 2023 and reap the golden benefits in the years to come. Simply put, investing in gold can be a smart way to kick-start your investments in 2023.
Sources:
* https://www.gold.org/goldhub/research/gold-outlook-2023-global-economy-crossroads
^ Gold price from MCX India website (Approximate figures)
