More residents turn to gold saving schemes

With gold prices reaching record highs and expected to remain elevated in the near future, UAE residents are increasingly turning to gold savings schemes and investing in the precious metal, particularly to secure their children’s futures.

- Waheed Abbas [e-mail]

Gold touched an all-time high last week as 24K hit Dh440.5 per gram, while 22K rose to Dh408 per gram. Prices retested the same rates over the weekend, and eased slightly, with 24K trading at Dh438.75 per gram, 22K at Dh406.25 per gram. Spot gold rose past $3,650 last week amid expectations around the US interest rate cuts, weaker US jobs market, central bank buying, among others.

Anuraag Sinha, managing director of Liali Jewellery, said there is evidence of an emerging trend in the UAE among both expatriate and national parents to invest in gold for their children. “This includes both purchasing gold as a traditional gift and using it to instill financial values early on.”