Silver Rate Today in Gujarat

Gujarat is a vibrant state on the West Coast of India. It is known for its famous festivals like the Kite Festival in the Rann of Kutchh or Navaratri. It is also home to many temples, beaches and the Gir Forest, the only place in India where you can spot lions in the wild. The Navaratri festival, celebrated during September and October, usually drives up a lot of sales for the state. That's when silver also sees a rise in demand because people buy a lot of silver jewellery to wear during the festival. If you also wish to invest in silver, read on to learn more about the demand for silver in Gujarat and how you can benefit from it.

Ways to Invest in Silver in Gujarat

There are various ways to invest in silver in Gujarat, but before that, you must know the types of silver investment options available:

• Physical Silver: One of the simplest ways to invest in silver is to buy physical silver, like silver utensils, silver jewellery, or silver coins and bars. These are easily available in jewellery stores or even at reputed banks. 
• Paper Silver: If you don't want the hassle of choosing and then storing silver objects, you can invest in paper silver. 

Here are the various ways in which you can invest in silver: -

• Silver Futures: Silver futures are contracts to buy silver at a future date. Such contracts trade on the NSE, BSE or MCX. These contracts are a way to bet on the price of silver in the future. You can bet on whether silver prices will rise or fall with silver futures. 
• Silver ETFs: Exchange-traded funds kind of work like mutual funds. They pool your money in a trust, which tracks the spot price of a commodity like silver. This way, you can get the benefits of a rise in silver prices without ever owning the metal. Several mutual fund houses now offer silver ETFs. 
• Silver Mining Stocks: Buying the shares of a silver mining company could also be a good way to invest in silver indirectly. However, it would help if you kept in mind that the fluctuations in the stock prices of these companies are not directly connected to the prices of silver. Other factors like the company's profitability, accidents in the mine and so on can impact the price of the stocks of such companies.

Reasons to Invest in Silver for the Long Term

Investing in silver can be a good way to diversify your portfolio. Precious metals like gold and silver are usually a great hedge against inflation. That is because the purchasing power of these metals does not decline with time. Instead, it grows with time. And with the demand for silver now rising, investing in the metal for the long term could be a good idea.

Risks Associated with Investing in Silver

No investment is risk-free, not even fixed deposits. So, investing in silver also opens you up to some risks. For instance, the silver market is very prone to price fluctuations. This volatility makes silver risky. 

Why is Silver More Affordable than Gold? 

Gold is a rarer metal than silver. The world has more silver deposits than gold, so buying silver is easier and cheaper. Meanwhile, procuring gold is difficult, so it is more expensive. Plus, the demand for gold is also high. That's because many still prefer gold jewellery, at least for weddings.

The Rate of Silver in Gujarat as Compared to Other States

The prices of silver differ from city to city and state to state. The main reason for this is that silver is usually imported from other countries to India and transporting it to different cities raises costs. The varying demand in different cities also causes fluctuations in prices. So, here is a comparison between the prices of silver in Gujarat and other states to help you make an informed decision.