Diwali 2025: Gold Coins And Bars Vs Jewellery – Which Is A Better Investment?

The widely-celebrated festival of Diwali marks the victory of light over darkness. Homes are cleaned and decorated with lamps and rangoli and families come together to pray, feast and celebrate the festival of lights.

It is common practice in many states to buy precious metals like gold and silver on Diwali. As a part of Diwali rituals, many people worship Lord Ganesh and Goddess Lakshmi on this auspicious day. Many devotees also buy gold and silver idols of these deities for Diwali. It is believed that buying precious metals on Diwali and offering gold and silver coins to Goddess Lakshmi brings good fortune and prosperity.  

Dhanteras marks the beginning of Diwali festivities and gold, silver and other metal items are also purchased on this day.  

However, buying gold bars, coins and jewellery during Diwali comes with advantages and limitations. While jewellery is often bought for personal use or gifting, coins and bars are preferred for investment.

Here’s How They Can Cost Differently 

Jewellery is very popular in India, especially during festivals like Diwali. It is often bought for weddings, gifting, or personal use. However, gold jewellery comes with additional costs like making charges. 

Making charges constitute a certain percentage of the jewellery's price and cover the cost of designing and crafting. They can range from as low as 5% to around 25% or even more, depending on the jewellery design. Customers also need to pay 3% goods and services tax (GST), which makes the final value of the jewellery costlier than the amount of gold in it.

Gold coins and bars are also popular choices during the festive season for their purity, value and investment appeal. Most jewellers only levy GST on coins and bars, making them more attractive than jewellery. Some high-end jewellers may levy minimal making charges on gold coins and bars if they feature intricate carvings or specific designs, such as figures of Goddess Lakshmi, or Lord Ganesha.

Coins and bars are easy to store and often offer a good resale value. They come with minimal additional charge, making them an attractive investment. Customers who are looking to invest in gold can consider this option for their portfolio.

On the other hand, jewellery has strong emotional value, especially when bought for loved ones. If short-term returns aren't the goal, it can still be a good choice. Over time, as gold prices rise, these additional costs may be recovered, making jewellery a meaningful way to preserve wealth.