You Can Earn By Renting Out Gold
Gold Leasing: Following the rise in gold prices, many large funds, investors, and corporate owners around the world are earning substantial annual profits by leasing their gold. This is known as gold leasing. Gold leasing means lending your unused gold to jewellers, refineries, or large financial platforms for a few months or weeks. In return, you can earn a return of 1 to 7 percent per year. This payment can be made in cash, grams of gold, or as interest. The best part is that you remain the owner of the gold. If the price of gold rises, you receive the full benefit, and on top of that, you earn a separate annual rental income.
London’s OTC Market, LBMA, and America’s COMEX are the largest centers. These places are considered global hubs for gold leasing. Major investors and institutions operate here. This trend is rapidly growing in India as well.
Digital platforms like RSBL and Gullak Gold, several major jewellers, and the government’s Gold Monetization Scheme are all working in this manner. You can deposit your gold bars, coins, or even old jewellery with them and earn good returns every year.
Why is this trend growing? Gold itself doesn’t generate any income. It’s called a non-yielding asset. Previously, wealthy individuals would simply store gold worth crores in their vaults. However, now, when the same gold is leased, they can earn up to 6-7 percent annually, making it more profitable than selling it. Jewellers and refiners, on the other hand, constantly need gold. Bank loans are expensive, but leased gold is cheap and readily available. Therefore, demand has surged on both sides.
Especially in India, leasing rates have skyrocketed from 2-3 percent to 6-7 percent in the past few months. The festival season, weddings, and a severe supply shortage are driving gold prices upward. Globally, new gold mines are declining, and old gold is being recycled, resulting in the gold previously stored in vaults now being used in the market. Digital gold apps and gold monetization schemes have made this achievable for the common man. Previously, only wealthy individuals could afford this, but now even individuals with 10-20 grams of gold can earn some extra income each month or year.
