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By:

Kaustubh Kale

10 September 2024 at 6:07:15 pm

Akshay Tritiya and Gold

As Akshay Tritiya arrives, gold once again takes centre stage in Indian households. For generations, buying gold on this auspicious day has been considered a symbol of prosperity, purity, and good fortune. It is not just a purchase. It is an emotion, a blessing, and a tradition passed from one generation to another. But beyond tradition, gold also carries an important financial lesson. Gold is not just jewellery. It is an asset. Gold During Uncertain Times Over the years, gold has proved its...

Akshay Tritiya and Gold

As Akshay Tritiya arrives, gold once again takes centre stage in Indian households. For generations, buying gold on this auspicious day has been considered a symbol of prosperity, purity, and good fortune. It is not just a purchase. It is an emotion, a blessing, and a tradition passed from one generation to another. But beyond tradition, gold also carries an important financial lesson. Gold is not just jewellery. It is an asset. Gold During Uncertain Times Over the years, gold has proved its worth not only during festivals, but also during uncertain times. Whenever the world faces wars, inflation, currency weakness, economic slowdown, or financial panic, investors across the globe look at gold as a safe haven. This is because gold has a unique quality. It is trusted across countries, cultures, and generations. It does not depend on the promise of one government, one company, or one currency. Why Gold Holds Value Unlike paper currency, gold cannot be printed endlessly. Unlike businesses, it does not depend on profits or management quality. Unlike real estate, it is globally accepted and easily valued. This is why gold continues to remain one of the oldest and most respected stores of value. It has survived centuries of change, economic cycles, wars, and financial crises. The Right Role in Your Portfolio That said, gold should not be treated as a shortcut to wealth creation. Equities and equity mutual funds still remain essential for long-term growth. Gold plays a different role. It brings balance, stability, and protection to your portfolio. When equity markets are volatile or global uncertainty rises, gold often provides comfort. A sensible allocation of around 10-20% to gold can help reduce overall portfolio risk.  So basically, while stocks and equity mutual funds play the lead role in your long-term financial goals, gold plays the supporting but essential role. Physical Gold Has Limitations However, the way you invest in gold matters. Buying physical gold during festivals may feel emotionally satisfying, but it comes with practical challenges. There are making charges, purity concerns, storage issues, risk of theft, and liquidity problems. A necklace may be beautiful, but you cannot easily sell only a small portion of it when you need money. Also, when gold is bought as jewellery, the investor often forgets to calculate the actual return after making charges and deductions. Smarter Ways to Invest This is where Gold Mutual Funds and Gold ETFs become useful. They allow you to invest in gold without worrying about lockers, purity, theft, or storage. You can invest flexible amounts, start SIPs, track value easily, and redeem conveniently when required. For investors who want gold as part of their financial plan, these options are far more practical than buying jewellery purely as an investment. Tradition with Financial Clarity Akshay Tritiya is a beautiful reminder that wealth should be built with faith, patience, and clarity. Buying gold is auspicious, but buying it in the right form is financially wise. This Akshay Tritiya, celebrate tradition - but also upgrade your financial thinking. Because true prosperity is not just about owning gold. It is about owning it smartly. (The writer is a Chartered Accountant and CFA (USA). Financial Advisor. Views personal. He could be reached on 9833133605.)

Idol Politics

As Mumbai begins earnest preparations for its most iconic festival, Ganesh Chaturthi, politics is once again knocking at the deity’s door. The BJP-led Mahayuti government, with Cultural Affairs Minister Ashish Shelar as its emissary, has made a calculated intervention into the debate over the use of Plaster of Paris (PoP) idols. The policy shift is less about pollution and more about positioning. The Brihanmumbai Municipal Corporation (BMC) elections, long overdue, loom large over every move by the ruling coalition.


Shelar announced that the government would soon formulate a policy to facilitate the immersion of large Ganesh idols, including those made of PoP, while ensuring environmental safeguards. He also claimed that making, selling, or immersing PoP idols was not illegal despite the Central Pollution Control Board’s guidelines discouraging their use and immersion owing to ecological damage to water bodies. But in Maharashtra, especially in Mumbai, few things are as politically potent as Ganeshotsav. And fewer still are as entwined with votes.


This is a deft political calculation. The BJP, in alliance with Eknath Shinde’s breakaway Shiv Sena faction, has long been eyeing a takeover of the BMC — India’s richest municipal corporation — from the clutches of the Uddhav Thackeray-led Shiv Sena (UBT). Ganesh mandals have long been the nerve centres of Shiv Sena power. During the ten days of celebration, these local committees control everything from sound permissions to civic coordination, becoming miniature fiefdoms in their neighbourhoods. Over decades, the Sena built a grassroots network through these festivals by mixing religiosity with local clout.


By voicing support for traditional idol makers and pushing back against CPCB restrictions, the government is appealing to artisan communities and mandals, especially in Mumbai and Pune. The obvious subtext is that BJP is the patron of Hindu tradition. And unlike the Sena factions locked in internecine squabbles, it offers clarity along with subsidies.


Environmentalists will doubtless worry about PoP idols polluting water bodies and harming marine life. While clay idols and artificial tanks exist, they haven’t caught on for large-scale use. The government promises a balance between tradition with eco-safeguards, though just how it plays out in practice is unclear.


But the move will be welcomed by more than just political operatives and idol-makers. The Hindu community, long weary of what they see as overregulation of their festivals, will likely perceive this as overdue course correction. In recent years, environmental rules, court interventions and municipal red tape have disproportionately affected Hindu processions and public celebrations — whether Holi bonfires, Dussehra effigies or Diwali firecrackers. Meanwhile, festivals of other faiths often proceed with minimal interference, fuelling a perception, rightly or wrongly, that Hindu practices are held to a more exacting standard.


It is in this context that Shelar’s remarks strike a resonant chord. His message that faith and tradition will not be sacrificed at the altar of bureaucratic overreach is more than merely administrative. It is almost like a cultural counterpunch. For many in the Hindu community, the move signals that their beliefs are not second-tier.

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