Educational

Dhanteras: Gold or Stocks?

• dhanteras
• gold
• stocks
• gold etf
• diwali
• capital gains tax

Two ways of thinking about wealth, side by side

Dhanteras falls on Friday, 6 November 2026. For many families it means buying gold. Others ask whether the same money could go into stocks. This post lays out how the two compare on price history, costs, tax and risk, so you can think the choice through. It is a comparison, not a recommendation.

What the gold price has done

Gold has had a strong run. One tracker puts 24K gold at ₹50,625 per 10 grams on Dhanteras 2022, ₹60,746 in 2023, ₹79,143 in 2024 and ₹1,21,164 in 2025. The price reached ₹1,54,186 on 31 August 2026 and was quoted at around ₹1.48 lakh in mid to late October, after some profit-booking.

Business Standard reported that gold and silver rose by more than 60 per cent in Samvat 2081, while the Sensex returned 6.26 per cent and the Nifty 6.76 per cent. Two lessons follow. Strong past returns do not guarantee future ones, and a higher starting price changes the picture for anyone buying now.

What stocks have done

Stock returns are uneven and tied to company earnings. In the same Samvat 2081, the Nifty returned 6.76 per cent. In 2026 the picture was tougher: on 8 September the Sensex closed 6.57 per cent below its level a year earlier. Over long periods, stocks represent ownership in businesses that can grow profits and pay dividends. Over shorter periods they can fall sharply.

Gold and stocks side by side

• Role: Gold is often held as a store of value in uncertain times. Stocks are held for growth that comes from business earnings.

• Income: Gold pays no interest or dividend. Stocks may pay dividends.

• Cost at purchase: Jewellery carries 3 per cent GST on the gold value and 5 per cent on making charges. Gold ETFs and gold funds carry no purchase GST. Stock trades carry brokerage and statutory charges.

• Resale: GST and making charges on jewellery are typically not recovered when you sell.

• Tax on gains: Physical gold sold within 24 months is taxed at your slab rate, and at 12.5 per cent after that. Gold ETFs follow a 12-month threshold, while gold funds follow 24 months. Listed equity gains are taxed at 20 per cent within 12 months, and long-term gains above ₹1.25 lakh a year at 12.5 per cent.

• Storage: Physical gold needs safe storage. Demat holdings do not.

• Risk: Both prices can fall, and neither offers guaranteed returns.

Ways to hold gold

Gold can be held as jewellery, coins and bars, digital gold, gold ETFs or gold funds. Each differs in cost, tax and convenience. If you buy jewellery for tradition or gifting, it helps to see it as spending on something meaningful rather than as an investment.

Questions to ask yourself

1. What is this money for: ritual, gifting or long-term wealth?

2. How long can I leave it untouched?

3. How much of my savings is already in gold or in equities?

4. Do I understand the costs and tax of the format I am choosing?

5. Are my emergency fund and insurance already in place?

It does not have to be either-or

Many households hold both for different reasons, and the mix is personal. SEBI-registered Investment Advisers can help build a plan for your situation, and SEBI-registered Research Analysts share research on specific stocks. You can explore registered Experts on Kuberhunt and verify any registration before acting on their views.

The takeaway

Dhanteras can be a tradition and a financial decision at the same time. Know which one you are making, check the costs and tax, and avoid buying out of urgency.

Quick Answers

Is gold or stocks better on Dhanteras? Neither is better in every case. Gold and stocks play different roles, carry different costs and tax, and both can fall. The right fit depends on your goal and time horizon.

What extra costs come with buying gold jewellery? GST of 3 per cent on the gold value and 5 per cent on making charges, plus the making charge itself. These are typically not recovered on resale.

How is gold taxed when sold? Physical gold held for more than 24 months attracts 12.5 per cent long-term capital gains tax. Within 24 months, gains are taxed at your slab rate. Gold ETFs use a 12-month threshold.

Can I buy gold without holding it physically? Yes. Gold ETFs, gold funds and digital gold are options, each with its own cost and tax rules.

Sources

• Sahi: Gold Rate Trends Around Dhanteras and Diwali 2026

• Ascendants: Gold Price Today, 18 October 2026

• IBTimes India: Gold Price in India, Is It Right Time to Buy Before Dhanteras and Diwali?

• Business Standard: Gold and Silver Outshine Equities as Samvat 2081 Draws to a Close

• IANS via Greater Kashmir: Sensex, Nifty End With Modest Gains in Special Muhurat Trading Session

• Finnovate: Taxation of Gold in India Explained

• Aditya Birla Capital: Tax on Gold ETF

• DSP Mutual Fund: STCG and LTCG Rules in India

• Kuberhunt: Market Update, Sept 8, 2026: Sensex Falls for a Third Day, Trails Last Year by 6.5%

At a Glance

_{Disclosure: This article is published by Kuberhunt for informational and educational purposes, drawing on third-party market analysis and publicly available brokerage, IMF, and Moody's research. Kuberhunt is a technology and research distribution platform connecting investors with SEBI-registered Research Analysts and Investment Advisors. Kuberhunt itself is not a Research Analyst or Investment Adviser and does not provide investment advice, create, or endorse any specific investment recommendation. This article does not constitute investment advice and should not be used as the basis for any trading decision. Cross-market return and earnings-growth figures are drawn from multiple secondary sources using different methodologies and time windows (calendar year vs. financial year, rupee vs. dollar terms); readers should treat comparisons as directional rather than precise and verify current figures independently before acting on them.}

Educational content, not investment advice. Markets carry risk; read the disclosures on any Reco before you act on it.