5 ways you can invest in gold

Apart from being a different asset class for investing, gold has a significant cultural, social and religious value in India. While traditional ways involve purchase of physical gold in the form of jewellery or gold coins, there are other approaches to gain an exposure in gold.

Gold exchangetraded funds (ETFs)
Gold ETFs are listed on the Indian stock exchanges and provide an efficient way to invest in gold without the need for physical storage. They offer flexibility for investors to trade in gold electronically.


Gold mutual funds
One can invest in gold mutual funds, which diversify their investments across various forms, including stocks of gold mining companies and related assets.

Sovereign gold bonds
Issued by the government of India, SGBs offer a secure and efficient investment option. With an annual interest rate and potential for capital appreciation, they are favoured by risk-averse investors.

Physical gold
This can be in the form of jewellery, which serves both ornamental and investment purposes, and is often passed down through generations. Physical gold can also be bought as coins and bars available with jewellers or banks.

Gold plans & schemes
Banks and jewellers offer plans to systematically invest in gold over a specified period. Customers can deposit fixed installments regularly and receive gold jewellery at the end of this period.

Content on this page is courtesy Centre for Investment Education and Learning (CIEL).
Contributions by Girija Gadre, Arti Bhargava and Labdhi Mehta.