LEARN FIVE WAYS TO INVEST IN GOLD
- Gold ETF
Gold ETFs are Exchange Traded Funds (ETFs) that track the domestic 24K gold price. These are passive investment instruments that track gold prices and invest in gold reserves. One gold ETF unit is equivalent to 1 gram of gold backed by high purity gold.
      2. Gold Mutual Fund
Mutual fund schemes that invest in gold ETFs are known as gold mutual funds. They invest through ETFs instead of making direct physical investments and come under the category of ‘fund of funds’. These funds are suitable for investors who do not have a demit account and want to take advantage of the appreciation in the price of gold, managed professionally.
3. Sovereign Gold Bond
To reduce the demand for physical gold, the ‘Sovereign Gold Bond’ scheme was launched by the government in 2015. RBI issues them on behalf of the Government of India.
4.digital gold
One of the convenient and cost-effective means of online investment in gold is – digital gold. Digital gold is a way to hold virtual gold without a safe or locker.
Digital gold purchased by investors is backed by physical 24-karat gold and is linked to the price of 24-karat gold.
5. Physical Gold
Investors who prefer to buy gold only in physical form and want to hold it for a long time can do so by purchasing gold coins or bars. Investors should buy these from reliable and verified sources only. Gold coins and bars come with 24 karat purity and their value is linked to the price of 24 karat gold. These come in standard units such as 1 gram, 5 grams, 10 grams (or more). Investors should ensure their purity (with hallmark) in compliance with BIS standards.
