GLOSSARY

Intrinsic value

It is the actual value of the metal content in a coin.

Kilo bar

Refers to a bar that weighs one kilogram or approximately 32.1507 troy ounces.

Krugerrand

Refers to a South African gold coin.

Legend

Refers to an inscription that is made on a coin.

Liquidity

Refers to the ability of gold to generate liquid cash much quicker than any other investment avenue. Gold is one of the most highly liquid investments that one can make, especially in India.

Market risk

Refers to the risk of the gold prices dropping due to changes in economic variants. However, in India, this risk is the least in terms of gold, since gold prices have generally shown a rising trend.

MCX

The Multi Commodity Exchange of India Limited (MCX) is India’s first listed exchange for commodity futures. MCX facilitates online trading, clearing, and settlement of commodity futures transactions. It offers trading in numerous commodity futures contracts, which include gold, ferrous and non-ferrous metals, energy, and agricultural commodities.

Medallion

It is a round piece of metal that closely resembles a coin.

Metric ton

It is a measurement tool, which translates to 1,000 kilograms or 32,151 troy ounces.

Mint mark

Refers to a letter or symbol, which is stamped on a coin in order to recognise its minting facility.