Present ScenarioIn this havoc , when the entire global market is heading towards recession and its a scene of discomfort and fear people are finding very difficult to trace a right place to invest there hard earned money , which in turn would not only give them handsome return but also assure the principal amount to be safe and secured. The stock market has stumble down not only in domestic but in international markets also. After number of generous effort from the financial bodies of the country including RBI , SEBI and the Finance ministry very insignificant results have been noticed and that too for a very short period. The market is facing difficulty to find the way ahead and get support at least not to decline further. The portfolio of the traders and investors are declining to vast extent day by day , whether we realize them by booking our losses or not is a secondary factor. In this scenario investors have not only lost the unredeemed profits but the invested capital has been washed off badly , moreover the remainder is stuck for a infinite period of time. This lead to credit crunch and shortage of liquidity in the market, thereby sole cause of financial instability of the country as a whole. In circumstances as such of failure of financial Institutions & big corporates , rise in figures of unemployment & inflation.After severe steps from govt. to improve liquidity in the market , no significant results are found that is leading us towards a dangerous situation ahead as United states of America.
What to do now?
In the above mentioned situation its tough to track the path to invest and keep them secured. The only way to be secured is to invest in precious metal , which is acceptable worldwide. These metal include GOLD & SILVER. Even though the currency is not valid or not acceptable in some parts of the world but these metals have international values. In a situation when the country gets bankrupted the currency gets value less but the gold is the only base for the public of that country to have financial health. The currency of any country is printed on basis of gold reserve or else one would have printed as much as money required but that is restricted to amount of gold deposited. When the reserve gets nil the value of currency of that country gets zero. In a situation of financial crisis the steps is considered as first a deep cut in stock index of that country, secondly sale of gold , sale of property respectively.
GOLD & SILVER has very bright future ahead and will make new life time highs. There may some depression due to international crisis and sale of gold from the country moving towards deep recession to make financial stability for time being , but it has provided a great opportunity for us to invest but for long term view , its best investment opportunity.
Being a financial advisor I would suggest to rush to accumulate gold. Some lower level may be seen but it may turn around from any levels. The maximum low expected is Rs 8000 per 10 gms but It may be a dream value , as it has strong support at higher levels. The best way to invest would be to start buying from current levels and average. In case you wish to go for 100 gms buy 25 gms in 4 times , at every dip to average your purchase.
