How much profit have gold buyers made since the beginning of the year?
At the beginning of 2025, the price of gold fluctuated between 83 and 84 million VND per tael. Thus, in just 2.5 months, the price of gold increased by 15.5 - 16 million VND per tael, equivalent to a return of 19%.
Gold prices hit a record high, buyers from the beginning of the year benefit.
On March 20th, the price of gold in Vietnam officially surpassed 100 million VND per tael, marking a historic milestone. Those who bought gold from the beginning of 2025 are now reaping significant profits.
According to gold businesses such as SJC, PNJ, and DOJI, the price of SJC gold bars on the morning of March 20th fluctuated around 98.4 - 100.4 million VND/ounce. Some gold shops, such as Mi Hong, listed the selling price at 100 million VND/ounce.
Compared to January 1, 2025, when SJC gold bars were sold at 84.2 million VND/ounce, the current increase has reached 16.2 million VND/ounce in less than three months.
If someone bought gold at the beginning of the year at 84.2 million VND/ounce and sold it on March 20th at 98.4 million VND/ounce, they would make a profit of 14.2 million VND/ounce. For someone who bought 10 ounces of gold, the total profit could reach 142 million VND.
Those who bought gold on the God of Wealth Day (February 7, 2025), when the price fluctuated between 86.5 and 90 million VND/ounce, are currently making a profit of 8.4 million VND/ounce. Statistics from recent years show that most people who buy gold on the God of Wealth Day make a profit after holding it for a year.
Why has the price of gold risen sharply?
Experts believe the soaring price of gold is due to the impact of both domestic and international markets. Globally, gold is currently trading around $3,035 per ounce.
Associate Professor Ngo Tri Long, an economic expert, believes that this sharp price increase is mainly due to the demand for safe haven assets amidst global tariff, political, and economic instability. The fact that world gold prices have surpassed $3,000 per ounce is further boosting domestic gold prices.
US President Donald Trump's trade policies are also a significant factor. The imposition of high tariffs on imports has increased concerns about a global trade war, driving investors to seek refuge in gold as a safe haven.
Domestically, demand for gold rings has surged due to their flexibility and better storage value compared to gold bars. The limited supply of gold rings on the market drives prices up. Furthermore, the less volatile buy-sell price difference for gold rings reduces transaction risk, making them a preferred choice for many investors.
Should investors take profits or continue to have expectations?
Many investors are faced with the choice of taking profits or continuing to hold their gold holdings in the expectation that the price will rise even higher.
Mr. Nguyen Van Hung, a long-time investor in Hanoi, shared:
"I bought 5 taels of SJC gold bars at the beginning of the year for 84.5 million VND/tael. Now I can sell them for 100 million VND/tael, making a profit of nearly 75 million VND. But I'm still considering it because many people predict the price of gold will rise further."
Similarly, Ms. Lan Anh in Ho Chi Minh City is also hesitating:
"I bought 3 taels of gold at the beginning of the year for 84.2 million VND per tael. Now that the price has risen to 100 million VND, I've made a profit of nearly 47 million VND. I'm planning to sell some of it to lock in my profits."
Associate Professor Dr. Dinh Trong Thinh, a senior lecturer at the Academy of Finance, warns that the continuous rise in gold prices also means significant risks. Those who only want to speculate short-term may end up buying at the peak if they don't have a suitable strategy.
He advised that the proportion of gold in a portfolio should not exceed 50%, ideally 10-20%, to avoid risk when prices reverse. In particular, borrowing money to buy gold or short-selling should be avoided, as even a slight market correction could result in significant losses.
According to expert Nguyen Quang Huy from Nguyen Trai University, the sentiment of holding gold in Vietnam remains strong, not only due to tradition but also because of the global economic and political context.
The domestic gold market is also affected by falling bank deposit interest rates and the unrecovered real estate market, causing many investors to shift their focus to gold. Some expect gold prices to continue rising, with world gold prices potentially reaching $3,100 per ounce in the second quarter of 2025.
However, Associate Professor Dr. Dinh Trong Thinh advises that if buying gold for investment, investors should wait for world gold prices to stabilize before investing. Chasing after FOMO (fear of missing out) can expose many people to significant risks when prices reverse and fall.
Will gold prices continue to rise or correct?
Regarding gold price trends, some experts believe gold may continue to rise, but others are cautious about the possibility of a short-term correction.
According to Nicholas Frappell, Director of Markets at ABC Refinery, the gold market may experience a correction after a strong rally in the first quarter of 2025. However, he also emphasized that buying pressure remains very strong and previous corrections have been short-lived.
On the other hand, some experts still believe in the scenario of gold prices continuing to reach new highs. If world gold prices reach $3,100 per ounce, domestic gold prices could rise even higher.
However, investors need to carefully assess the situation before making a decision. If gold is considered a long-term safe-haven asset, buying it may still be worth considering. But if you only want to speculate in the short term, taking profits at the current high price might be a safer option.
For those who bought gold at the beginning of the year at 84.2 million VND/ounce, this is a critical moment: sell to lock in profits or continue holding gold and wait for the next "wave"?
