Buying Gold in the USA for Indians
Be it your obsession for purchasing gold jewelry or coins, or you are an investor or perhaps you are a trader, no matter what is the reason, you must have thought about buying gold in USA and then taking it here for selling at profitable rates right? Well, it is not that easy, because our government, RBI and custom duty rules are very strict to allow doing that. Regardless of buying gold from any country, prices are increasing throughout the world at almost similar rates, so it doesn’t really matter where you buy your gold from. We Indians probably pay more for import duty because our gold supply is 99% imported. However, the biggest benefit of buying it in the US is that purity of gold there is much better compared to what you get in India.
Not only in India, but in the US also gold has gained huge popularity and because of that prices worldwide are almost similar with minor differences due to currency conversion. Financial institutions, banks, gold trading companies and even the governments invest in gold to prevent economic disturbance and uncertainty. When the economy imbalance subsides, gold rates drops significantly, that is the reason why bigger investors are keen on investing in bonds, stock market, and real estate when the economy of the country is stable enough to sustain the grown rate. Therefore, you should be careful when buying gold in the US just for investment purpose because gold trading is subjected to market risks.
Majority of big players in gold investing and trading business would tell you to take long term investment plan into consideration, because if currently the price are going over the roof, they are bound to hit the ground once in a while. So, be careful if your plan is to gain on short term trading.
If you are an Indian and thinking about comparison on buying gold in USA vs. India or perhaps purchasing and taking it in India for selling purpose, you need to know the custom duty rules for that. If your plan is to make some real quick profit on short term gold buying and selling, you should rather buy ETF’s issued by banks which is the safest option for Indians. For ETFs you best option is to consult local banks like HDFC, ICICI, Axis Bank or any other financial institution that provides ETFs contracts.
There are both risks and rewards involved with buying gold for investment, and purchasing it from US or India doesn’t really make that much of difference. At the moment spot price is very high, and you never know it is going to crash down. All the best and happy investing!