During the Spring Festival holiday, the Shanghai Gold Exchange will be closed from February 14 to February 23, while international precious metals markets will operate as usual.

Recently, the question of whether to hold gold over the holiday has become a key topic among investors. How should investors allocate their assets?

An investor from Beijing, Ms. Ma, stated that she has accumulated 39.03 grams of gold since her first purchase of accumulation gold in February 2025. "I initially bought gold at around 676 yuan per gram and have since made 17 additional purchases, with the most recent at 1,081 yuan per gram for 2 grams," she explained.

Regarding holding gold during the holiday, Ms. Ma mentioned that since her purchase price was relatively low and she has no urgent need for cash, price fluctuations have little impact on her. She plans to retain her holdings. "I originally considered short-term trading but found it unsatisfactory. Now, I adopt a long-term strategy and buy a few grams whenever gold experiences a significant pullback," she added. As of the latest update, her average cost is 806.74 yuan per gram, with an unrealized gain of approximately 12,256 yuan.

Another investor, Ms. Yan, also based in Beijing, reported purchasing a 50-gram physical gold bar at 1,020 yuan per gram, followed by 50 grams of bank accumulation gold at 1,058 yuan per gram.

"I intend to hold the physical gold bar long-term. However, if the price of accumulation gold rises to 1,200 or 1,300 yuan per gram before the holiday, I may sell. If it falls below 1,058 yuan, I plan to buy another 50 grams," Ms. Yan shared.

On January 22, an investor using the pseudonym Li Ming invested 50,000 yuan in a gold stock ETF. "After buying, gold sector stocks continued to rise, yielding over 10,000 yuan in just a few days. However, following a recent sharp decline in precious metals prices, those gains quickly eroded, briefly turning into a small loss. Prices have since recovered somewhat, and as of February 11, the return is about 3.45%, with a cumulative profit of over 1,700 yuan," Li Ming stated.

Li Ming expressed concern that current international gold prices are near historical highs, raising fears of a potential "black swan" event that could trigger significant volatility. He remains undecided about selling before the holiday. "I will monitor the market in the final two days before the break before making a decision," he said.

In contrast, Wang Li (pseudonym), who began purchasing gold ETFs in October 2025, is more composed. "I have invested a total of 5,000 yuan so far, with a current holding profit of about 900 yuan as of February 11," Wang Li noted. She views gold ETFs as lower risk compared to futures or gold stocks and plans to continue systematic long-term investment, unconcerned with short-term fluctuations. She will hold her position over the holiday.

Can gold be repurchased during the Spring Festival? While international gold markets remain open, the Shanghai Gold Exchange will be closed. This raises questions about trading accumulation gold and repurchasing physical gold during this period.

Recently, Caibai Jewelry's parent company, Beijing Caishikou Department Store Co., Ltd., and China Gold Group announced adjustments to their precious metals repurchase rules, including limits and a suspension of repurchase services on weekends and public holidays when the Shanghai Gold Exchange is closed.

Industrial and Commercial Bank of China announced on January 30 that, effective February 7, it would impose limits on its accumulation gold business on non-trading days, including daily caps on accumulations and redemptions. Physical gold withdrawals will remain unaffected.

China Construction Bank stated on February 11 that it would implement dynamic transaction limits on its gold products from February 14 to 23 and suspend physical gold repurchase services.

Bank of China announced on February 11 that accumulation gold purchases, redemptions, and withdrawals would be suspended on weekends during the holiday. Trading hours on February 16 and February 23 will start at 08:00 instead of 07:00. Sales of physical gold bars will continue based on branch schedules, but repurchase services will vary by branch.

Inquiries to ICBC, CCB, and Agricultural Bank of China on February 11 revealed that accumulation gold trading will be suspended during the holiday. Customers interested in purchasing physical gold are advised to check branch inventory in advance, as repurchase services will be unavailable.

A gold shop owner in Shandong province, Mr. Qin, mentioned that while his shop will offer repurchase services during the holiday, the recovery price will be lowered due to increased costs and risks, as upstream refineries are closed. Prices will return to normal after February 25. "Those wishing to cash out should act quickly before the holiday or wait until operations normalize," he advised.

Qu Rui, a senior associate director at Oriental Jincheng, explained that adjustments to repurchase rules by banks and gold brands are a rational response to price volatility, aimed at risk management and operational optimization. These measures help control repurchase volume, mitigate financial pressure, and align with regulatory guidance to encourage rational trading.

Ye Qianning, a precious metals researcher at GF Futures, noted that limiting repurchase scale reduces risks for businesses during price declines and helps prevent a "run" on gold, stabilizing the circulation system.

Experts advise against short-term speculators holding gold over the holiday. Recently, gold markets have experienced significant volatility near historical highs. International spot gold reached a high of $5,100.21 per ounce, while Shanghai Gold Exchange's Au(T+D) hit 1,136.5 yuan per gram.

"Ordinary investors should treat gold as a hedge within their portfolio, limiting exposure to 3%-5% of total assets. They should prioritize正规 channels like bank gold bars or gold ETFs, avoid leverage and chasing highs, and focus on securing profits and controlling risk before the holiday," Qu Rui summarized. "Generally, short-term speculators are not advised to hold gold over the break, but long-term investors can maintain modest holdings."

He elaborated that for short-term traders, overseas market volatility during the closure could lead to gap openings in domestic prices after the holiday, preventing timely stop-loss actions. With prices already high, a post-holiday correction is possible, and suspended repurchase channels may cause missed selling opportunities. Long-term investors, however, can benefit from gold's safe-haven and value-preservation attributes by holding low-leverage positions.

For investors with different risk appetites, Qu Rui suggested conservative investors allocate 5%-10% to gold, favoring physical gold or ETFs; aggressive investors may allocate more but should reduce positions before the holiday to lock in gains. Short-term idle funds should not exceed a 5% allocation, with a focus on liquid products.

Ye Qianning emphasized caution around the holiday, advising against leveraged trading and recommending reduced positions or staying out of the market. "For those holding physical or accumulation gold, ensure the position size is within your risk tolerance. As natural longs, they might consider buying put options as insurance against short-term price swings," she suggested.

She also warned that despite gold's positive long-term outlook, important U.S. economic data and geopolitical uncertainties during the holiday period could increase volatility in less liquid markets.

Regarding post-holiday strategies, Qu Rui noted that if gold prices retreat or the dollar strengthens after the break, investors holding gold should adjust based on their risk tolerance. Aggressive investors might take profits if prices fall 3%-5%, setting stop-losses about 2% below purchase price. Conservative investors could hold steady, considering adding to positions if declines deepen, to maintain an appropriate allocation.

"Investors must fully recognize that gold, as a financial asset, carries high risk, including the potential loss of principal," Ye Qianning stated.

She advised investors holding gold over the holiday to monitor U.S. economic data releases, which could impact the dollar and gold prices, and be prepared to act after the break. Those using options for protection should close positions at an appropriate time if prices do not fall significantly.