Akshaya Tritiya is a Hindu and Jain festival that falls on the third day of the bright fortnight (Shukla Paksha) of the Vaisakha month in the lunisolar Hindu calendar. It is considered one of the most auspicious days of the year and is celebrated by Hindus and Jains worldwide.
Akshaya Tritiya 2024 Date
In 2024, Akshaya Tritiya will be celebrated on Friday, May 10th.
Significance of Akshaya Tritiya
Akshaya Tritiya is believed to be the day on which Lord Vishnu descended to earth, and it is also associated with the birth of Lord Parasurama, the sixth avatar of Vishnu. The word “Akshaya” means “imperishable” or “never-ending”, and it is believed that any good deeds performed on this day will be rewarded with eternal blessings.
Traditions and Customs of Akshaya Tritiya
Many traditions and customs are associated with Akshaya Tritiya; one of the most common is buying gold.
Why Do People Buy Gold On Akshaya Tritiya?
It is considered very auspicious to buy gold on Akshaya Tritiya, as it is believed to bring prosperity and wealth.
Prithviraj Kothari, MD, RiddiSiddhi Bullions, says that Hindu mythology states that Akshaya Tritiya heralds the beginning of the first yug, known as Satyug or the golden period. This day marks the beginning of a new cycle in which buying new things, including jewellery or other valuables, is said to bring long-lasting luck.
“Buying gold on Akshaya Tritiya is considered auspicious since it is associated with good fortune, wealth, and achievement. Purchasing gold on this day, so the saying goes, guarantees eternal prosperity. Some acquire gold in the belief that their riches and fortune would expand because they think that what starts on Akshaya Tritiya will continue forever,” Kothari adds.
The CAGR Factor
“If we look at the gold performance from the last Akshay Tritiya to this Akshaya Tritiya, gold has given an almost 18.5% return. If investors invested in gold every year over the last five years during Akshaya Tritiya, their CAGR return would be around 17.50%,” says Anuj Gupta, head of commodity & currency at HDFC Securities.
Beyond Financial Transaction
Vikas Singh, MD & CEO of MMTC-PAMP, says, “Gold has a profound cultural resonance in most aspects of our tradition. On the sacred occasion of Akshaya Tritiya, acquiring gold & silver is more than just a financial transaction – it’s a time-honoured custom that sets the stage for fortuitous ventures in the year ahead. Besides being a symbol of success, gold offers a safeguard during reduced economic opportunities, consistently appreciating over time.
Purity Is Crucial
Singh elaborates that purity is paramount when considering investing in gold. The higher the purity, the greater the intrinsic worth and value for potential returns.
“While karats indicate gold content broadly, the fineness measure provides a more granular analysis. Crucially, for the discerning investor, purities can vary even within the 24-karat category,” he adds.
Fineness denotes the parts per thousand of pure gold present. Gold products graded at 999.9+ boast 99.99%+ purity, making it the purest form of gold available in the market.
Similarly, 999 fineness translates to 99.9% purity, while 916 signifies 91.6% gold. Opting for the maximum 999.9+ fineness amplifies returns per unit weight and assures superior resale value over time.
Best Value Gold
Singh highlights that reputed bullion dealers prioritise 999.9+ purity purest gold with minimal trace elements, furnished with authenticated certifications. Gold items at 99.99%+ purity with a positive weight tolerance further enhance the value. Positive weight tolerance is a minted gold product weighing more than the stated weight imprinted on the product and its packaging. Minted products that come with a positive weight tolerance give more value to an investment.
Singh also adds that the London Bullion Market Association’s (LBMA) “Good Delivery” accreditation is the globally recognised hallmark of purity standards which cover specifications like purity levels, weight, physical characteristics and more. Products bearing this accreditation enable traceability and acceptance across international gold markets and institutions like gold ETFs.
Gold Momentum To Continue
Colin Shah, MD, Kama Jewelry, underlines that domestically, gold prices have increased 13% since the last Akshaya Tritiya, leaving a trail of bullish growth patterns in terms of both price and demand.
“We will see the momentum inflate two-fold during Akshaya Tritiya and this uptick in trend will be driven by the sentimental value attached towards the yellow metal along with one of the most auspicious moments to invest in safe-haven like gold. Having said that, there is a behavioural shift observed among the young buyers who are investing largely in gold for adornment purposes and this trend too, has developed a robust market share of its own,” Shah adds.
Silver Not Far Behind
Shah notes that silver has grown 11% y-o-y and as per findings from a recent report by Motilal Oswal, will outgrow gold in the near term.
The fan base for silver has witnessed significant growth in the past few years and we foresee a 10%-15% rise in demand on this auspicious occasion.
“Overall, both gold and silver have emerged as dependable asset classes and with the projection of their prices touching 75,000 and 1,00,000 during the year, we will see a strong demand influx during the festive buying throughout the year,” Shah says.
Akshaya Tritiya 2024 Gold Offers
Leading jewellers and retailers are offering discounts on gold purchases on the occasion of Akshaya Tritiya.
Akshaya Tritiya Gold Buying Time
Between 4:17 AM, May 10, 2024 to 2:50 AM, May 11, 2024.
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