Chennai, the capital of Tamil Nadu is famous for its gold commodity and trade. In fact, it is ranked at the top for trade of gold as it holds a maximum deal of gold in the country. Gold in Chennai is mostly used for making jewellery for which there persist a number of jewellery establishments in the city. The rates of gold are updated daily which can be identified through online financial sites or by people dealing in gold.
The gold is mostly imported from abroad. Chennai being a city with no significant gold production, maximum of it comes up through other regions. Other than ornamentation, it is also bought for investment portfolio.
Gold being purchased across India, it is bought to hedge against inflation. Gold is taken as an investment which holds value in unexpected events for it has a good resale value and comfortable to make the asset liquid. It helps us best during economical crisis.
Inflation can lead the person to end up with nil savings. The rates of return on fixed deposits also vary in such cases. Thus, gold is preferred over any such underperforming investment turning money into gold.
Though gold is one of the best ways of investment, people ignore the fact that they will not receive returns on the investment made. They tend to forget deductions of creation charges. Chennai has numerous outlets dealing in gold that are particularly famous for shopping during marriages and other auspicious occasions.
Significant portions of public in Chennai do invest in gold coins which are usually 24k gold coins. This is because they can be turned in jewellery by alloying them with other base metals. At the time of sale, one considers the quality of pure gold present.