How to Invest in Gold | Sovereign Gold Bonds (SGB) vs Digital Gold vs Gold ETF vs Gold Mutual Fund

Are you looking to invest in gold but don't know where to start? In this video, I'll cover 5 different options for investing in gold in India: Sovereign Gold Bonds (SGB), Digital Gold, Gold ETF, Gold Mutual Fund and Physical Gold. I'll be discussing the pros and cons of each option in a comparison format as we look at how each of these gold instruments measure on the basis of its availability, risk, returns, costs, minimum requirement, liquidity and taxation. This information will act like the ultimate gold investment guide to you which'll help you make an informed decision about how to invest in gold irrespective of whether you are a beginner or an experienced investor

The 5 gold investment options I have covered in this video includes:
1. Sovereign Gold Bonds (SGB) are government securities denominated in grams of gold and its value is pegged to the price of gold in the domestic Indian market. SGBs are rather popular in India as they come with low risk and offer an interest of 2.5% per annum which none of the other gold products offer
2. Digital Gold is an easy and convenient way to buy and sell gold online. It offers 99.9% purity of gold and can be bought from many financial apps. The big risk with digital gold (or e-gold as it is sometimes called) is that it lacks regulatory oversight (RBI and SEBI don't regulate digital gold currently)
3. Gold ETFs are exchange-traded funds that invest in physical gold and can be bought from your trading account. These can be bought during trading hours and carry an expense ratio of 0.5 to 0.7%
4. Gold Mutual Funds are professionally managed funds that invest in various gold-related assets, primarily gold ETFs
5. Physical Gold is the traditional form of holding gold which includes jewellery, coins, bars, bullion etc. Indian households own a lot of physical gold and it is estimated that they hold over 25,000 tons of gold which is about 12% of all the gold that has been mined since the start of mankind

👉 Video Chapters:
00:00 Gold Gold Everywhere
00:56 Benefits of Investing in Gold
03:09 1. Availability of Gold
04:14 2. Risks in Gold Investment Products
05:59 3. Minimum Investment for Gold
06:51 4. Gold Returns and Costs
07:34 Expenses in Digital Gold
08:51 Gold Mutual Fund Expense Ratio
11:21 5. Liquidity of Gold Instruments
13:13 6. Tax on Gold Investments
15:20 Shankar's Viewpoint

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#sovereigngoldbond #goldinvestment #goldinvesting #digitalgold #goldetf #goldmutualfund #gold

Disclaimer: I am not a SEBI registered investment advisor or research analyst. The content posted on this platform is purely for educational purposes and none of it constitutes investing or trading advice. Viewers should do their own research and diligence before investing or acting on the information presented

[ananyaOm]

9:36 ah! What a golden revelation for me! Was wondering why I should go for gold etf when gold mutual funds have lower expense ratio. But this makes it clear! Thank you.

[Suhass]

I personally invest 10% of my SIP amount into edelweiss gold and silver fund of fund. Gives me exposure to 5% of gold and silver each in the entire portfolio. Every quarter the fund rebalances the ETFs held to be 50:50, this also helps in capturing the change in gold-silver ratio. At the time of rebalancing, if gold is overvalued compared to silver, profits will be booked from the gold side and get invested in silver without having to realise capital gains and vice versa for silver. It has already given me 7.8% return over the last 2 months. If asset rebalancing is something one does, then fund like this will help.

[lordrdx]

Golden advice, golden words & very informative! Thanks for sharing this in-depth video! Keep them coming!

[aasavareekale]

Thank you Mr. Nath for another informative video! The depth, comprehensiveness and lucidity of your videos make them very helpful especially for the new learners. Keep up the good work!😊

[manoj]

Perfect video for one who wants to start investing in gold.

[amit.deshmukh]

I am not only learning Financial from Shankar Sir, but as IT professional, how to present the data in professional and concise way

[satyam-evajayate]

We've never thought about expense ratio of etf as underlying asset in gold mutual fund. Very useful information. We prefer gold mutual fund option due to liquidity advantage at convenience and completed asset allocation before 31st March 2023 to ensure indexation benefits. In future it's better to use dynamic asset allocation mutual fund due to taxation advantages...

[mohitgairola]

Again, Premium content .
This show's you have done good homework for the vedio. Keep it up.

[arjunps]

This video is pure gold. 😉
I've not invested much in gold but this year I plan to do so.
Imo the returns of SGB look attractive but its moderate liquidity is a concern. Everyone likes it because of govt backing but that is the risk too. We never know when the govt will tinker with the 2.5% additional interest when it feels like just like it plays around with PPF interest rates.
By the looks of it a Gold ETF is better with physical backing of gold and high liquidity.

[AdithyaRA]

Thank you again for sharing detailed analysis. I did something similar couple of years ago and went with option of ICICIGOLD ETF. Watching it come up on your video reassures my decision. Thank you!

[MrMukherG]

Very well explained got many of my doubts cleared Thank you

[ashokkumarpally]

I was amazed when I watched your video on gold investments, it was explained in depth, thanks

[mohith.n.official]

Thank Shankar sir explain big confusion about gold in easy and simple manner with more clarity.

[bkumar]

Golden way to explain Gold investment 🎉

[TheMahaa]

Could you please make a video on how to build wealth, right from emergency fund to retirement planning, for varied incomes, like if I were to earn 50k per month, how should I go about my savings, investments and expenses. This will b really helpful. Thank you!

[sombitneogi]

Immaculate and comprehensive as always... ❤

[arun_kannan]

You can get SGBs in the secondary market for 3-7℅ discount. If we are sure of holding it till maturity, we can use this as a good discount

[ramyalamanchili]

Golden information shared by golden people only like as you 🎉

[Makikirkirri]

Very well explanation and snippets about the gold investment. Kudos to Shankar Nath.

[dotu]

Mr.Shankarnath
Your explanation and presentation is itself a Gold🌟
Subscribed right away and kudos to the team