Young Indian Investors Favour Digital Gold Over Traditional Options: Report
Fri Oct 18 2024
Most young Indians favor digital gold platforms for investing in the precious metal due to their ease of access and convenience, according to a survey by Moneyview. The survey, which included 3,000 respondents, found that while high-income groups tend to prefer physical gold purchases, the middle class is "rapidly embracing" digital options.
This trend is particularly noticeable in urban areas, where digital literacy and internet access are more widespread, as per the report.
Digital gold allows individuals to buy and invest in the precious metal without the need to physically possess it. Transactions can be conducted online, with a minimum buy or sell value as low as one rupee.
The survey revealed that 65 per cent of millennial respondents prefer digital gold to physical gold, with 75 per cent of those under 35 favoring digital options for their liquidity and convenience. Additionally, 85 per cent of respondents see gold as a valuable asset for wealth preservation, while 70 per cent consider it a safe investment that encourages savings habits.
“Digital gold is revolutionising the way people invest in this timeless asset. The ease of access, lower entry barriers and enhanced security make digital gold a highly convenient and valuable option for today's investors,” said Sushma Abburi, chief business officer at Moneyview, reported Business Standard.
Digital gold has gained significant traction among investors for several compelling reasons. One major factor is fractional ownership, which allows individuals to purchase gold in smaller amounts. This feature appeals to over half of the respondents, making gold investment more accessible to a wider audience. Additionally, the assurance of purity and insured storage further enhances confidence in digital gold, alleviating concerns typically associated with physical ownership.
The availability of affordable investment options, including systematic investment plans, makes digital gold an attractive choice for those looking to invest without committing large sums upfront. Furthermore, the ability to purchase gold in real time, without the complexities of physical storage, simplifies the investment process.
While urban consumers are at the forefront of digital gold adoption, rural areas are beginning to embrace this innovative investment method. Traditional preferences for physical gold are being challenged as mobile apps and fintech platforms enhance accessibility for rural consumers.
In fact, more than half of the respondents indicated that the option to buy gold in fractional amounts through digital platforms is a key feature driving their shift in investment habits. This flexibility not only democratizes access to gold investment but also encourages a broader demographic to consider gold as a viable asset for wealth building.
Source: https://news.abplive.com/