gold exchange traded funds investment

gold exchange traded funds

Comparing to physical investment of gold , gold exchange traded funds are secured and safe ,by taking the advantage of gold ETF investor get returns similar to physical gold, nation   stock exchange offer various types of gold ETF’s

Gold is the one of the best investment option in the world compare to other investment products, everyone wants to buy some quality of gold in their life time. Gold is not only investment it represents social status. Comparing to stock market investment gold given best performance from last decades and volatility wise also investor need not feel fear about gold investments.

Gold-demand-Country-wise

Gold exchange traded funds are become popular investment almost similar to physical gold. In modern world everything become digitalization, gold ETF trading is simple, secured and easy, The gold ETF are quoted like equity share in stock exchange and available in the electronic format.

Main reason to choose gold investment as Gold ETF

• Participate in gold ETF is simple
• Regulatory frame work
• Transparency
• Security 
• Liquidity
• Low transaction charges 

Detail Comparison between Gold Exchange traded funds and other gold physical investments

Parameters	ETFs	Jewelers	Bank
Purchase & sale mode	Demat Form	Bar / Coin/ Jewelers	Bar or Coin
Security of Asset	Taken Care by Fund	Investor's Concern	Investor's Concern
Transparency	Very High	Very Low	High
Impurity Risk	Nil	High	Nil
Pricing (for retail investors)	Transparent. Will be traded at NSE	Neither standard nor transparent	Not standard. Huge
Selling back	Sell back on exchange	uneconomical Restricted	Conditional and Markup,10-15% ideally
Bid Ask spread	Very Low	Very High	Can't sell back
Denomination	1 gram and in multiples 1/2 gram	Available in standard	denomination
Wealth Tax	No	yes	yes

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The ETF are traded in national stock exchange in India,by having of d-mat account investor can invest in gold etf .Investor can buy or sell using of broker stock trading terminal this is the major advantage of ETF’s so the investor can trade any time in exchange open time.It comes to volatility since now gold not shown any too much fluctuation in the history compare to other financial products less fluctuation recordededicated

The quantity of trade is depending upon the investor desire. Now in the national stock exchange 1 gram and 10 grams gold ETF are available for trading here 1 gram taken as 1 unit or one ETF, the investor don’t  have any limitation to trade in ETF,s

Coming to the point of legal. Security and exchange board of India taken designing of special regulatory frame work for ETF management companies, ETF brokers and other intermediaries ,as per regulation the ETF companies are maintain transparent manner .

Investment knowledge is the major limitation for gold ETF,And some investor not feeling ETF as physical gold. Still showing interest on physical gold. SEBI, ETF management companies and stock broking need improve the investor awareness about the gold ETF’s and need to conduct investor awareness camps in national wide.

THIS ARE LISTED GOLD EXCHANGE TRADED FUNDS IN NSE 

Scheme Name	Symbol	Managed By
Axis Gold ETF	AXISGOLD	Axis Mutual Fund
Goldman Sachs Gold Exchange Traded Scheme	GOLDBEES	Goldman Sachs Mutual Fund
UTI GOLD Exchange Traded Fund	GOLDSHARE	UTI Mutual Fund
HDFC Gold Exchange Traded Fund	HDFCMFGETF	HDFC Mutual Fund
ICICI Prudential Gold Exchange Traded Fund	IPGETF	ICICI Prudential Mutual Fund
Kotak Gold Exchange Traded Fund	KOTAKGOLD	Kotak Mutal Fund
Quantum Gold Fund (an ETF)	QGOLDHALF	Quantum Mutual Fund
Reliance Gold Exchange Traded Fund	RELGOLD	Reliance Mutual Fund
Religare Gold Exchange Traded Fund	RELIGAREGO	Religare Mutual Fund
SBI Gold Exchange Traded Scheme	SBIGETS	SBI Mutual Fund
Birla Sun Life Gold ETF	BSLGOLDETF	Birla Sun Life Mutual Fund
IDBI Gold Exchange Traded Fund	IDBI	IDBI Mutual Fund
Motilal Oswal MOSt Shares Gold ETF	MGOLD	Motilal Oswal Mutual Fund
Canara Robeco Gold Exchange Traded Fund	CRMFGETF	C anara Robeco Mutual Fund