Gold Prices Correct: Should Investors Buy Now or Wait?

The recent correction in gold prices has sparked debate among investors on whether to buy now or wait for better opportunities. Gold prices have dropped by approximately 18-20% from their peak earlier this year, creating a buffer for fresh allocations.

However, experts caution that the current price point of around ₹1.47-1.48 lakh per 10 grams in Indian markets is not cheap enough to warrant new investments. Chirag Mehta, CIO of Quantum Mutual Fund, emphasizes that 'the correction has changed the price, but not the purpose' of gold as a diversifier and hedge.

Prasanna Pathak, deputy CEO of The Wealth Company Mutual Fund, highlights gold's ability to behave as a diversifier, particularly in times of economic uncertainty. He notes that investors should view gold not as a short-term investment opportunity but rather as a long-term asset class with potential for outperformance.