List of Tables

Table No. Title Chapter I 1.1 1.2 1.3 1.4 1.5 1.6 Instruments Or Vehicles Of Investments Factors Influencing Gold Price Ways To Invest In The Gold Karat Systems Weighting Standards Comparisons Of Various Forms Of Gold Chapter III 3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 3.10 3.11 3.12 3.13 3.14 3.15 Metal Ingredients And Its Combination Determining Selling Price Of Non Kdm And Kdm Gold Ornaments Calculation Of Buy Back Price Of Gold Ornaments Design Or Identification Marks And Symbols Hallmark On Gold Jewellery Respondents Aware About Purity Norms Of Gold Various Purity Symbols Ranking Of Securities Analysis Of Gold With Other Avenues Profession Wise Classification Income Wise Classification Classification On The Basis Of Selection Of Investment Avenue Investment profile of the Investors Classification on the basis of need for investment Classification on the basis of Degree of saving and return that is expected Classification on the basis of type of investment preferred 42 42 43 44 45 46 48 49 50 51 52 53 55 56 57 I 6 11 13 26 26 27 Page No.

Table No. 3.16 3.17 3.18

Title Classification On The Basis Of Thinking About Gold As A Good Investment Options Classification On The Basis Of Investments In Gold Classification On The Basis Of Frequency Of Investment In Gold Classification On The Basis Of Forms Of Investment Used For Investment In Gold Classification On The Basis Of Recommendations To Others For Gold

Page No. 58 59 60

3.19

61

3.20

62

List of Figures
Figure No. 1.1 1.2 1.3 1.4 1.5 1.6 1.7 2.1 3.1 Gold Prices And Inflation Factors Affecting Gold Prices Supply of Gold In India India And Gold Rising Prices of Gold Volatility of Gold Procedure For Hallmarking Research Procedure Correlation of Gold With Key Asset Classes Title Page No. 5 12 19 20 23 29 31 39 47

II

List of Graphs and Charts

Graph No. 3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 3.10 3.11 3.12 3.13 3.14 3.15 Title Checking of Purity Norms of Gold Various Purity Symbols and Awareness Ranking of Securities Profession wise Classification Income wise Classification Preference of Investment options Investment profile of the Investors Aim for Investment Degree of safety and return that is expected Risk based - Type of investment Thinking about Gold Invest in Gold Frequency of investment in gold Ways of Investment in Gold Recommends for Gold Page No. 45 46 49 50 51 52 54 55 56 57 58 59 60 61 62

III

ABSTRACT

Finance investment is putting money into something with the expectation of gain that upon thorough analysis has a high degree of security for the principal amount, as well as security of return, within an expected period of time. Gold has been used as a store of value and form of currency since ancient times. Gold has always been a symbol of stability and wealth. People tend to think about buying gold more as a saving than vehicle for as an investment but it does not need to be so. Gold has the same features as every other asset worth investing in, whether stock, bonds, mutual funds, or even commodities like corn, tobacco, crude oil or other precious metals. Study is related with analyzing the Gold on various parameters by comparing it with other avenues. Though rates of gold are rising day by day but still its demand is not showing decline trend. Is it happening so because of performance of gold in unexpected way? So research problem is concerned with the preference given to gold as an investment option and its effect on investment in other avenues. Research is done with the objectives to study the pricing policy of the Gold ornaments and purity related norms about the Metal. Objective is to test the Gold by comparing it with other securities on various parameters. Descriptive type of research design is used. Primary data was collected through questionnaires, formal and informal interview of Goldsmiths, MCX traders and dealers. Secondary Data was collected through books, Journals, Magazines, websites etc. The technique that is used is Convenience Sampling Techniques. Outcome of the report is that nearly all the middle class people are aware about the investment in Gold, its purity norms and its other advantages. Middle Class People are of typical Indian type of mentality; they are showing casual nature and restrict the change. It is found that Gold is very much suitable to be included in portfolio in any situation. This is the suggestion which come after studying the conclusion. IV

Feasibility of the suggestion should be taken in to consideration before giving it; the given suggestions are practically possible to implement it in the market. For more standardized Gold market, some suggestions are given such as use of Technology, Training sessions etc. are very necessary for this middle class people. Applicability of the results of this research will be relevant only to Amravati city so it may or may not be applicable to other parts of nation.