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Wednesday 26 October 2011

The Indian Investors- The Traditional Gold Buyers

By Jack Wogan


The relationship between Indian investors and gold is a tight one. It starts with their respect for culture, religion, customs and beliefs in general. The history proved that India is one of the major gold investors which helped shape the nation into what it is these days. Most Indian investors are not driven by their desire to get rich but also for their sincere appreciation for this precious metal and their adoration for what it stands for: intrinsic value and symbolism that breaks time barriers.

The Hindu mythology can be considered a starting point for this fascination with the precious metal. However, things continued for centuries as nowadays Indian people are still very much into buying gold for their use but also as an investment tool. Some of the most important reasons why this metal is omnipresent in all families are the belief, the tradition, the need for security, the desire for wealth and the love for mysticism.

Most modern Indian investors see in gold the perfect opportunity to make money. In spite of the rich tradition as precious metal owners, Indians nowadays behave in certain degree as regular investors who look for ways to increase their wealth and preserve what they have in times of financial crisis. The price of this precious metal has determined them to believe that this is the path towards getting rich which is why they can no longer ignore that their tradition has a liaison with financial stability.

India is not a rich country as many already know. However most households have traditional gold jewellery they pass on from generation to generation. It all started with the Hindu mythology which highlighted how pure and beautiful this metal is. It was widely used to adorn idols because of its purity and beauty. Moreover, all goddesses were described in this religion as being adorned with the precious metal. This turned the connection of the Indian population with mythology into a strong one and the population adopted this precious metal as part of their lives.

Women in India love to wear gold jewellery as much as they love to adorn idols with it. Wearing these jewels is part of their tradition and men have a moral obligation to offer their wives presents like these as a proof of their love. If we were to analyze where it all started we should go way back to the golden egg. This egg is believed to be the one that gave birth to Brahma which is the Creator of all.




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