On April 30, 2025, as Indians celebrate Akshaya Tritiya, a festival renowned for symbolizing prosperity, gold prices have taken a notable dip. The latest trading figures from the Multi Commodity Exchange (MCX) show that gold has dropped by over ₹500, settling around the ₹95,000 per 10 grams mark. This decline can be attributed to a stronger U.S. dollar and easing global trade tensions, raising questions among investors about the current value of gold in their portfolios.
The Gold Investment Landscape
Over the past five years, gold has yielded an impressive CAGR of 14.85%, with prices surging from ₹47,677 in April 2020 to ₹95,592 in April 2025. This represents a remarkable increase of over 100%. The annual return for this year stands at 31.44%, reinforcing gold’s reputation as a resilient asset amid global economic uncertainties.
Expert Insights on Gold’s Future
Jigar Trivedi, a Senior Research Analyst at Reliance Securities, noted the significant price increases in gold: 13% in 2023, 27% in 2024, and already 26% in 2025. These gains have been influenced by several macroeconomic factors, including a weakening U.S. dollar and geopolitical risks. However, Trivedi cautions that the driving forces behind this bullish trend may be losing momentum, indicating a potential consolidation period ahead.
Ajay Kedia, Director of Kedia Advisory, echoes this sentiment, advising investors to consider gold purchases primarily for ceremonial reasons rather than as a financial investment. He anticipates that returns are likely to moderate to around 6-7% in the coming year, largely due to easing geopolitical tensions and a shift in trade policies towards resolution. Kedia forecasts that gold prices could revisit levels between ₹86,000 and ₹87,000.
Silver: The Emerging Contender
While gold continues to dominate headlines, silver is emerging as a strong alternative for investors. The price of silver has increased by 15.62% from Akshaya Tritiya 2024 to Akshaya Tritiya 2025, with a remarkable five-year CAGR of nearly 20%. This surge is largely attributed to a standout year in 2021 when silver prices skyrocketed by 69.04%.
Kedia believes that silver possesses significant upside potential, driven by robust demand from industrial sectors such as solar energy and electronics. He suggests, “Buy gold for shubhlabh (auspiciousness), but consider silver for its investment potential.”
The Case for Gold as a Safe Haven
Despite forecasts of a price slowdown, gold remains a dependable safe-haven asset. Dr. Sagnik Bagchi, an Assistant Professor at the School of Business Management, emphasizes gold’s reliability, particularly during turbulent times. He notes that a weakening Indian rupee and global disruptions continue to enhance gold’s long-term attractiveness for risk-averse investors.
Making the Decision: Gold or Silver on Akshaya Tritiya 2025?
For those purchasing gold for its cultural significance, this Akshaya Tritiya is an opportune moment. However, if your focus is on investment growth, experts suggest that silver may present a more favorable option in the near to medium term.
Comparative Analysis of Gold and Silver
| Metric | Gold | Silver |
|---|---|---|
| 1-Year Return (2024–25) | 31.44% | 15.62% |
| 5-Year CAGR | ~14.85% | ~20% |
| Expert Outlook | Consolidation expected; moderate 6-7% return | Likely to outperform; 30% upside possible |
| Ideal Use | Safe-haven, traditional purchase | Industrial demand, value investment |
In summary, while gold continues to be a reliable asset, silver is gaining traction as a potential growth investment. As always, a diversified approach is crucial. Make informed decisions based on your financial goals, and consider the unique opportunities each metal presents.
