When you want to purchase Gold, there are various options:
- Purchase as Physical Gold (As ornaments or as coins / bar)
- Purchase through Gold Funds or Gold ETFs through Mutual Funds
- Purchase as Sovereign Gold Bonds as issued by Govt. Of India through RBI
The best option out of the three would be to go through the Sovereign Gold Bonds route owing to the below reasons: One should hold a DEMAT account to facilitate this purchase.
Purchase of Physical Gold also makes our country to import more gold (which in turns causes fiscal deficit) & keeping it idle at one’s home is not of any use either. Hence, if one decides to purchase gold – it is better he considers Sovereign Gold Bonds as issued by RBI rather than physical gold…