Gold Rate Today in Neyveli

Gold has been a staple investment for many individuals, with its value often increasing during times of economic uncertainty. Neyveli, a city located in the southern Indian state of Tamil Nadu, is no exception to this trend. In this blog, we will delve into the various options available for gold investment in Neyveli and the benefits and risks associated with each. 

From gold coins and bars to exchange-traded funds and jewelry, there is a wide range of options for those looking to invest in this precious metal. Whether you are a seasoned investor or just starting out, this guide will provide you with valuable information to help you make informed decisions about your gold investment in Neyveli.

Alternatives to Physical Gold for Investment in Neyveli

Gold is considered the most valuable metal due to its significance in religious mythology. Traditionally, people in Neyveli were more inclined to hold physical gold, but this comes with its benefits and pitfalls. Nowadays, if you are willing to purchase gold only for investment purposes, concerns about storing it safely arise. 

To avoid this difficulty, you can invest in other options in Neyveli. Some of the options are discussed below.

• Sovereign Gold Bonds (SGB) - The government introduced the concept of SGB in Neyveli in 2015. The government issues these bonds in the multiple of 1. You can have a minimum investment of one gram within this scheme.
• Gold Exchange-Traded Funds (ETFs) - Gold ETFs are the same as physical gold without carrying any trouble with storage. To invest in gold ETFs, you need to open a Demat account and hold the units of gold in dematerialised form.
• Gold Mutual Funds - These are open-ended mutual funds. These funds invest in gold reserves, and their prices directly depend on the costs of physical gold.

How is the Purity of Gold Evaluated in Neyveli

Buying gold in any form can seem easy but can prove worthless if you are unaware of crucial signs of how to check the purity of gold. The following are signs you must look for before buying gold in Neyveli.

• BIS Logo - The gold tested and verified in the labs certified with BIS has the BIS logo. You must always check this logo on the gold you purchase. 
• Purity in Karat - The karat number is always there on the surface of the jewellery as indicated by BIS. It indicates the purity of the gold as certified by BIS. The suitable karat for gold jewellery is 22K.
• Identification Mark of Jeweller - The jeweller puts its seal on the jewellery known as the identification mark. You can check the list of certified jewellers from the BIS website.

How Does GST Affect the Rate of Gold in Neyveli

The Government of India introduced GST (Goods & Services Tax) on 1st July 2017. Since it launched, it has resulted in an increase in gold prices in Neyveli. GST is levied on gold at 3%, and import duty is applied at 10%. In addition to this, GST is also charged on the making of gold jewellery. This rate of GST levied is 5%.

Some interesting facts about gold and gold prices in Neyveli

• Gold contact with the skin helps reduce rheumatoid arthritis symptoms in some people. It also promotes blood circulation, oxygen flow to all parts of your body and temperature regulation. Thus, it also provides health benefits when one wears gold jewellery.
• The purest form of gold is tasteless and odourless.
• Due to the uncertainty brought about by the Covid-19 pandemic, the demand for gold as an investment increased by 40%.
• Gold coins were first used as money in Lydia's 6th century BC.

Comparison Between 24 karats and 22 karats Gold

Gold is bought for various purposes, which mainly include jewellery and investing. Whenever you visit jewellery stores in Neyveli, you will get the option of 24K and 22K gold, and sometimes 18K gold.

'K' here represents karat which is used to determine the purity of gold. The higher measure of karat in gold denotes higher purity and vice versa. Consequently, 24K represents the purest form of gold as it is not mixed with any other metal. However, it is inappropriate for jewellery as it is extremely soft. 

22K gold is used for making jewellery. It is mixed with metals, such as zinc and copper in two parts, and the rest of the 22 parts consists of pure gold. It is harder than 24K gold and is known as 916 gold, which means 91.67% purity.