Dhanteras, which marks the beginning of the first day of the five-day Diwali festival, is considered auspicious to buy gold and silver. It also marks the beginning of the biggest wedding season. Buying gold on auspicious occasions is a part of the Indian tradition. So what form of gold should you opt for this Dhantrayodashi? You can either buy traditional gold jewelry or opt for digital gold or gold ETFs of gold funds depending upon your budget and requirements, and of course not to forget the investment horizon also.
Here are five smart ways to invest in gold in Dhanteras 2023
Digital gold
Digital gold is a mode of investing in physical gold. It is just like regular gold, can be bought online, and is stored in insured vaults by the seller on behalf of the customer.
“This Dhanteras, we encourage Gen Z and millennials to consider investing in digital gold as it offers the advantage of purchasing in small quantities, on EMIs, and even through UPI payment platforms,” said Mehak Srivastava, Head of Marketing at SahiBandhu
Moreover, by consistently investing in digital gold, one can gradually accumulate a collection of elegant jewellery, transforming it into an emotional asset that serves as both an investment and a practical financial instrument. You can also leverage it for gold loans during times of financial need, added Mehak
Gold, a timeless hedge against inflation and economic uncertainty, offers a unique blend of stability and potential appreciation.
Gold Exchange Traded Funds (ETFs)
Gold ETFs offer convenient and cost-effective exposure to gold’s price movements. Gold ETFs prove to be cheaper for investors as there are no exit loads.
“Traded like stocks, they eliminate the hassles of physical storage and making charges,” said Veer Mishra, Co-Founder of Plus
Sovereign Gold Bonds (SGBs)
SGBs provide guaranteed interest returns along with gold price appreciation. They offer tax benefits and are ideal for risk-averse investors seeking regular income.
Gold Funds
Gold Funds invest in gold ETFs. One can start investing in a Gold Fund with a minimum of Rs1,000. “These mutual funds invest in gold ETFs, offering a diversified approach to gold investing. They provide professional management and are suitable for those with a longer investment horizon,” said Veer Mishra.
Gold Ornaments
For those with a traditional preference, purchasing gold ornaments offers the dual benefit of investment and adornment.
However, consider making charges, resale value, and storage costs, suggested Co-Founder of Plus
Gold is a long-term investment, so choose the option that aligns with your risk appetite, investment goals, and financial situation.
Disclaimer: The views and recommendations made above are those of individual analysts, and not of Mint. We advise investors to check with certified experts before taking any investment decisions.
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Updated: 08 Nov 2023, 02:47 PM IST
