Dhanteras has arrived. Dhanteras festival will be celebrated across the country on 18 October. There is a tradition of buying gold on this occasion. It is believed that buying gold on Dhanteras brings happiness, peace and prosperity to the house. However, this time gold prices are at a record high. Moneycontrol is telling you 5 smart ways which you can use to invest in gold.
gold etf
The easiest option to invest in gold Gold ETF Is. It is a financial instrument that tracks the prices of gold. This means that the NAV of a gold ETF increases as gold prices rise. NAV falls when gold prices fall. The NAV of a gold ETF is calculated at the close of business every day. The biggest advantage of investing in it is that you do not have to worry about keeping the gold safe. However, to invest in Gold ETFs it is necessary to have a Demat account.
You can invest in gold schemes of mutual funds. This scheme invests investors’ money in gold ETFs. The advantage of investing in these is that you can easily withdraw your money when needed. Demat account is necessary to invest in this. The returns of gold schemes of mutual funds depend on the returns of gold. Gold schemes of many big mutual fund houses are available in the market.
Sovereign Gold Bonds
The government launched the Sovereign Gold Scheme (SGB) in November 2015. Its objective was to give people the option of investing in physical gold. RBI issues gold bonds on behalf of the Government of India. The investment in this matures in 8 years. But, the government has not released the new installment of SGB after February 2024. But, you can buy it from stock exchanges. Investing in this gives the benefit of rise in gold. Apart from this, 2.5 percent interest is also available annually.
gold coin
You can buy gold coins sitting at home. E-commerce companies are selling gold coins to users on the occasion of Dhanteras. Since these are gold coins of branded or trusted companies, there is no need to worry about their purity. Amazon is selling gold coins of 8 to 10 grams. He is also offering discounts on these coins. Flipkart is also selling gold coins of branded companies.
digital gold
You can also invest in digital gold. Jio Financial Services has introduced Digital Gold offer on the occasion of Dhanteras and Diwali. Users can buy it through JioFinance’s mobile app. This offer is open from 18th to 23rd October. The company is giving additional 2 percent gold free on purchase of digital gold worth Rs 2000 or more.