Domestic gold prices have skyrocketed 42.5% in the past year, attracting both new and seasoned investors. But how can you invest without storing physical gold or worrying about purity? The answer: gold ETFs and gold mutual funds.
What are gold ETFs?
Gold ETFs invest in physical gold, gold futures, or both, tracking gold prices closely. They are traded like stocks, giving flexibility to buy or sell anytime.
Gold mutual funds are ideal for investors without a demat account, as they invest in gold ETFs for you. Multi-asset funds also include gold, but allocation varies by scheme.
Why choose gold funds over physical gold?
-
No storage hassle
-
No making charges or purity concerns
-
Low-cost exposure to the yellow metal
Currently, 21 gold ETFs manage Rs 66,664 crore with nearly 7.87 million investors. Past returns are impressive—42.55% in one year, and 13–26% annualised over longer terms.
Experts recommend allocating around 10% of your portfolio to gold. Those already above 10% should consider booking profits and reallocating carefully.
Post a comment
LxmePay Empowers Women with Smart UPI & Wealth Tools!
India’s first UPI built specifically for women converts every transaction into savings, digital gold and...
NPCI raises UPI limits for high-value merchant payments!
From September 15, NPCI will allow higher UPI transaction limits in select sectors making large...
Gold hits new highs : What should investors do now?
Gold has jumped over 40% since December 2024 driven by ETF inflows, speculative bets, and...
GST 2.0 slashes prices, Makes essentials tax-free!
GST 2.0 revamps tax slabs: TVs, cement, vehicles drop from 28% to 18%, staples like...
