The continuing decline in stock markets has given a huge wound to investors. The value of investment of many investors has fallen by 30-40 percent. They are afraid of increasing the market. Therefore, despite the money, they are not ready to put in shares. They also see a loss instead of benefits in keeping the money in the bank’s savings account. The interest in the bank’s savings account is between 3-4 percent. Inflation is more than this. This means that the value of their money kept in the bank will be reduced instead of increasing. In such a situation, they have an option investment in gold. Investment in gold is considered to be a risk-free. Actually it is the safest option of investment.
Gold has made investors happy
Gold How much return can you get on investment? It is difficult to give an answer to this question. But, if we look at the returns of previous years, it seems that Gold has not disappointed investors. Gold returns in 2024 were excellent. It was among the most returns assets. It gave 28 per cent returns to investors. It gave 15 per cent returns in 2023. Talking about the annual average return of gold in the last 5 years, it has been 13.5 percent. This means that Gold has not disappointed investors.
Investment options in gold
Investing in gold today is much easier than before. There are many options in front of investment today with the new investment new products coming in the market. Technology has made investment even easier. If you want to invest in digital gold, then this work will be sitting at home. If you have a demat account, then you can also invest in Gold ETF. Not only this, you do not need much money to invest in gold today. You can also invest in gold from small amounts. You can also invest in gold from small amount in gold every month through SIP.
Gold ETF is an exchange traded fund, which tracks the price of physical gold in the domestic market. Gold traded funds have trading like stocks. Just as there is investment in a scheme of mutual funds, gold can be invested in Gold ETF. Because of this it is very easy to invest in it. If needed, money can be withdrawn from it easily. Since, gold prices are publicly available on the stock exchange, making the entire process transparent. Investing in Gold ETF, there is no entry or exit load.
Gold mutual fund
Asset management companies offer gold mutual funds. Their structure is of fund of funds. It mainly invests Gold ETF. Hence the portfolio of ETF becomes the portfolio of the gold fund. The expansion ratio of the gold mutual funds is low. Invester can invest in the gold mutual fund scheme from just Rs 500. Demat account is also not required to invest in gold mutual funds.
Also read: Gold Rate Today: Gold became cheaper on Monday 10 March, know the rate of ten grams of gold
Sovereign Gold Bond
The government is no longer releasing a new installment of Sovereign Gold Bond (SGB). The government last released its installment in February 2024. This was a very attractive option to invest in gold. Investment in this used to benefit from the increase in gold prices. Also, the government used to give an annual interest of 2.5 percent to the investor. However, there is no option to invest in this scheme due to lack of new installments. It can be invested from the secondary market. Can be invested in the installment of SGB already available in the market.