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Gold is an essential commodity in Kerala. It indicates wealth, prosperity, and status. People in Kerala hand down gold from generation to generation and the gold rate per gram in Kerala rises during the festival and wedding seasons. But Kerala also has many active investors who take benefit of the changes in gold prices by investing in different gold investment options. 

 What is Today’s Gold Rate in Kerala?

The current gold rate in Kerala as of 25th November 2021, or the 22-carat gold rate in Kerala today, is Rs 4,470/gm, and the 24-carat gold rate in Kerala is Rs 4,694/gm of 24K gold.

Gold Rates in Kerala For the Last 10 Days

Date

10 Gram (22 K)

10 Gram (24 K)

24 November 2021

 

Rs. 45050

 

Rs. 47300

23 November 2021

 

Rs. 45050

 

Rs. 47300

22 November 2021

 

Rs. 45750

 

Rs. 48040

21 November 2021

 

Rs. 45750

 

Rs. 48040

20 November 2021

 

Rs. 45750

 

Rs. 48040

19 November 2021

 

Rs. 46000

 

Rs. 48300

18 November 2021

 

Rs. 46000

 

Rs. 48300

17 November 2021

 

Rs. 45900

 

Rs. 48460

16 November 2021

 

Rs. 46150

 

Rs. 48200

15 November 2021

 

Rs. 45900

 

Rs. 48460

 

Historical Prices of Gold Rate in Kerala

Months

Lowest Price 24 Carat Gold Rs. Per 10 Grams

Highest Price 24 Carat Gold Rs. Per 10 Grams

October 2021

47,620

48,830

September 2021

46,730

48,140

August 2021

47,250

48,880

 Final Gold Rates in Kerala:

Final price= weight of gold x rate/gm plus wastage and making charges (10 to 20% approximately) plus GST @ 3% of the purchase price.

Gold Vs Fixed Deposits

Keralites prefer to invest in physical gold since gold is an excellent asset. Please take a look for yourself at our Gold Vs Fixed Deposits comparative table.

Factor

Gold

Bank Fixed Deposit

Risk Factor

It is vulnerable to being stolen and involves additional costs in insurance, storage etc.

FD is a low-risk option with a fixed term and low-interest rates are often unattractive during the recession.

 

ROI Analysis

If you make an annual buy of gold for 5 years, historical prices indicate a return earning of 18% CAGR.

FD’s interest rates are linked to the term and offer an annual rate of 5-6% with an additional 0.5% for senior citizens.

 

Premature Closure

Gold provides you with both early liquidation and gold loan options.

In contrast, there is a 1% penalty of the interest earned on the premature closure of an FD.

Liquidity

Gold is a high liquidity investment that is easy to sell. Digital gold units are exchangeable for physical gold,

Whereas, the liquidity of the FD depends on the bank’s discretion.

 

Modern Concepts in Gold Investments

You can buy gold today in a variety of methods. Take a look at your options.

  • Digital gold or E-Gold: Gold over the last ten years has seen a 300% price rise. Due to the COVID-19 pandemic, the stock markets are volatile and unpredictable. Digital gold is an online secure investment where you buy gold online which is 99.99% pure and the gold allocated is under your ownership and stored in insured vaults ready for delivery anytime. 
  • Futures contracts mean you buy into the gold delivered at a future date at the present prices.
  • Bullion Coins and bars 
  • Gold Sovereign Bonds (SGBs) have a fixed 8-year term and provide a 2.5% return rate.
  • Gold ETFs are stock market traded units of gold and are the most preferred modern way of buying pure gold.
  • Gold stocks/shares in gold production/mining companies
  • Mutual Gold Funds where the fund is invested in buying gold at maturity.
  • Gold Jewellery
  • Gold derivatives deal in larger quantities of gold where it is traded as a commodity on the stock market.

Here’s a comparison chart of physical gold with the modern gold investment options.

Physical Gold

Digital Gold and ETFs

Gold Funds

You buy physical gold Ex: gold bars, coins, jewellery, etc.

You buy online pure gold units and ETFs.

You buy into a fund where the fund is invested in companies in gold mining. 

No Demat account is needed to buy physical gold.

The seller helps you set up a Demat account online. 

A Demat account is not needed to invest in these gold funds.

You pay for what you buy which is GST, wastage, making charges and the weight of gold at the gold rate today 22k in Kerala.

You pay small brokerage fees, asset management charges, and store your gold bought at the gold rate today in Kerala in your account digitally.

You pay fund management charges and get physical gold at the gold rate in Kerala 916 when you liquidate it.

Physical gold is hard to store, vulnerable to theft and incurs insurance charges to protect it.

Digital gold is gold in electronic form and in your account in an insured vault.

Gold funds, too, are paper gold and suffer no risk from burglary/theft.

Just-buy ornaments are readily available.

Simple paperwork when investing is done by the seller firm.

Paperwork is essential and the certificate is important when investing.

You should maintain the purchase receipt.

You keep adding to your insured vault till delivery.

You need to hold the online/offline fund certificate till maturity.

Daily gold rate today in Kerala 22k fluctuates. 

Today's gold rate in Kerala live affects the prices. Learn all about digital gold at Khatabook.

The company stock profits decide the quantity of gold paid out at the 916 gold rate in Kerala.  

Factors That Affect Gold Rates in Kerala

Several factors are known to affect today’s gold rate in Kerala. The most important ones are

  • High demand and low supply positions cause a rise in today’s gold rate in Kerala.
  • International gold prices also affect the gold rates in Kerala.
  • Market conditions and economic slowdown pushes the gold prices.
  • Changes in government policies and import duties can affect domestic gold prices.
  • Fluctuating currency values like Rupee rates versus the USD reflect on the current gold rate in Kerala.
  • Low deposit interest rates encourage investors to buy more gold, increasing the gold rates.
  • The high inflation in India pushes the gold rate in Kerala upwards.

Note that the prices are not just the base value per gram of gold. Instead, it is the total of all these factors acting on the gold values which push the rates upwards or downwards. Typically the festival times and wedding season sees an upwards surge in the 916 gold rate in Kerala today. Though the prices rise and fall daily, you must consider the correct type of gold investment when adding the gold investment as a safety net.

Checklist for Buying Gold in Kerala

Here’s what you need to check before investing in gold.

  • Hallmark or BIS Certification: This factor is important as it certifies the quality and purity of gold.
  • The daily gold rates: Gold rates vary daily across locations. Today’s gold rate in Kerala can vary even by the moment on the commodities market. This rate is different from the jewellery rate called the 22-carat gold rate in Kerala or used for stock trading and online transactions. Jewellers normally follow the Gold Dealers Association rates. 
  • Buy-back terms: Buy-back rates are significant to ensure one’s gold jewellery value does not decrease. Kerala’s jewellery shops assure customers of buyback facilities at the prevalent gold rate in Kerala or an exchange of gold jewellery on a gram-to-gram basis to the latest designs.
  • Making and wastage charges: This value is 7-25% of the gold weight when prices are quoted as today’s gold rate in Kerala per gram. Note that jewellery with stones and high alloy content like white gold cost more when you buy and sell for less as the selling price has zero value for the alloy and stones.

24K, 22K and 18K Gold

24K Gold: Its purity is 99.9 per cent, and the colour yellow. 24K gold is available as a bar, coins, etc. and is used in the making of bars, coins, jewellery, gold articles, industrial purposes and medical devices. It is more expensive than 22K gold.

22K Gold: Its purity is 91.67 percent and yellow and has copper added in to make it more malleable. 22K gold is available as coins, bars and jewellery, and is popular in jewellery making. It is less expensive than 24k gold and more costly than 18K gold.

18k Gold:  It is trendy in the jewellery business since it is considered by several to be the best gold for jewellery in terms of malleability, hardness, the value of gold, etc. 18K gold has 75% pure gold in it and 25% Copper.

Reasons to Invest in Gold

Let us explore the reasons why gold has and will always remain an investment par excellence.

  • It has many modern options like digital gold, mutual gold funds, SIPs, ETFs, and more.
  • It is an anti-inflation asset and hedges rising prices while offering an 18% growth rate
  • Gold helps you save for the future especially if you invest in digital gold which helps you save small and buy big in pure gold.
  • Easy to sell, buy and liquidate whether it is online or in the jewellery form.
  • Gold requires little or no maintenance. It has also been brought under mandatory BIS certification or hallmarking to protect buyers.
  • You can easily pass on gold for generations which is part of Indian traditions.
  • You can avail of gold loans where you get 90% of its value as a short term loan from banks against pledging gold jewellery. 
  • It makes a good addition to your investment portfolio as it shows a steady price increase and does not suffer from stock market risks.
  • No value depreciation or deterioration with time. In fact, it is a status symbol with Keralites investing a substantial part of their savings in gold ornaments.

Digital Gold 

It means gold in electronic form. Many platforms like Khatabook offer digital gold for investors. You can start investing with as little as Rs 10 onwards. Keep saving to buy the gold and store it in a digital locker till encashment by locking in the units of gold. One can sell it from home or even convert it to physical gold at will. For example, Khatabook offers digital gold and even converts it to physical gold on request. They deliver it at your address in tamper-proof packaging.

Trading of Digital Gold

Gold investments can be bought or sold in electronic format. All you need is a mobile phone, a good internet connection, and a platform like Khatabook to buy digital gold. 

The general steps required are

  • Enter the gold, its type, and weight in grams.
  • Select the payment mode and upload KYC verification documents.
  • Make a payment, and the digital gold is instantly reflected in your locker.
  • If you need to sell, check today’s gold rate in Kerala and sell your gold without further hassles. 
  • When you need to take possession of your gold, ask for home delivery of the physical gold.

Availing Gold Loans

The best part is that physical gold, jewellery, etc., can raise 90% of its value as a secured loan in times of distress. In hard times, you needn’t sell your gold. Just avail of a gold loan. Banks, NBFCs etc., offer these loans at a reasonable interest rate.

Where to Buy Gold in Kerala

Kerala has many jewellery stores of repute. Here are some of them:. 

Jeweller

Location

Josco Jewellers

Kochi

Alapatt Jewellers

Thiruvanathapuram

Kalyan Jewellers

Kozhikode

Chunghat Jewellers

Thrissur

Bhima Jewellers

Kannur

Conclusion

The gold rate in Kerala fluctuates depending on several factors. When investing in jewellery, always choose BIS marked gold, which has the best resale value. White gold has a higher price than today’s gold rate in Kerala because of higher processing charges. 18k jewellery, whether rose, green, yellow or white, has a lower resale value because to obtain the colour, other metals are added. Make sure you do a lot of research into the gold prices, purity, and gold rate before investing in gold.  Risk tolerance and the reason for investing are prime factors to making any investments. Learn about gold investments at Khatabook. Happy investing!

FAQs:

What is meant by futures?

Contracts that specify in the contract that a certain fixed quantity of gold will be traded at a specified future date are called Futures.

What is a spot contract?

Spot contracts offer a time period for the investor looking at investing in the futures segment and lock in the strike rate at today’s gold rate in Kerala.

Is trading in gold safe?

Derivatives and trading in gold as a commodity at the current gold rate in Kerala is riskier and involves trading gold of at least 1kg on the stock market.

What is a Gold Sovereign Bond?

SGBs are bonds that are government-backed and have an 8-year term with a fixed 2.5% return rate. They are like fixed deposits and allow premature closure after a term of 5 years. 

What is today’s gold rate in Kerala?

The current gold rate in Kerala as of 25th November 2021, or the 22-carat gold rate in Kerala today is Rs 4,470/gm and the 24-carat gold rate in Kerala is Rs 4,694/gm.

What is the easiest way to find the gold rate?

You can find gold rates on online platforms like Khatabook.

When is the best time to invest in Gold?

It is preferable to buy gold when the gold rates are lower than the average gold rates for the period.

What is 18 carat, 22 carat and 24 carat?

Carats refer to the purity of gold. 18 carat has 75% pure gold, whereas 22 carat and 24 carat contains  91.6% pure gold and 99.9% pure gold respectively.