Gold monetisation: Manappuram, MCX among Jefferies top stock picks - Business Standard

Jefferies has flagged gold monetisation as a theme worth watching, with Manappuram Finance and the Multi Commodity Exchange (MCX) among its top stock picks. The idea centres on unlocking the value of idle household gold, which in India is substantial. For a lender like Manappuram, the relevance lies in its established gold-loan franchise, which could see higher demand as more individuals formalise their gold holdings. For MCX, the link is different: increased monetisation typically means more trading in gold futures and related instruments, potentially boosting exchange volumes.

The broader market relevance is structural. Gold monetisation sits at the intersection of financial inclusion, commodity markets, and banking. If the trend gains traction, it could shift how physical gold is used—moving it from a static asset to a productive one. However, execution depends on policy support, gold price dynamics, and investor behaviour.

What to watch next is whether regulatory initiatives expand and whether companies in the gold ecosystem report sustained business growth tied to deposit or trading volumes, rather than just short-term price movements.