How to Invest in Gold in India?

Gold is a classic investment option with a decent appreciating rate. People used to put their savings into gold decades ago and continue to do so even today. However, compared to that time there are several new options for you in gold investments today.

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The following are some of the best gold investment options that you can compare with your requirements:

1. Jewellery

Jewellery is one of the most common gold investment options and has multiple uses. You can use it in marriages, wear it for special occasions, and even sell it when you need money. Besides, many families consider it a tradition to collect jewelry.

Advantages:

• The investment process is simple and quick.
• Investing early can save you from paying more in the future.

Disadvantages:

• You have to keep your jewelry protected from thieves and burglars.
• Jewellery making charges alone can be quite high (as much as 20% of the total cost).

2. Gold Coins

Investing in gold coins is simpler than investing in jewelry. There is a relatively less risk involved here regarding the purity of the gold as the coins are usually sold by banks. Moreover, you don’t have to pay anything extra (unlike making charges in the case of jewelry).

Advantages:

• Investment is easy and reliable.
• Easy to keep safe.
• You can invest in small amounts too.

Disadvantages:

• Just like jewelry, you have to protect gold coins from thieves and burglars.
• You cannot sell gold coins back to the bank you bought them from.

3. Gold ETFs

Gold Exchange-Traded Funds (ETFs) are one of newest gold investment schemes that you can consider. The best part about these is that you don’t have to physically own gold in order to invest.

Advantages:

• Small initial investment
• High liquidity
• Safe because of no physical possession

Disadvantages:

• Research is necessary for good investment
• Comes with a certain level of risk

If you are looking for an investment with multiple uses, then gold can certainly be one of your choices. However, it’s better to consult a professional before making any decision.