Akshaya Tritiya falls on 24th April this year and has traditionally been considered the most auspicious time for investing in gold!
Buying Gold ETF is purchasing gold in electronic form. You can buy them just like you buy the stock of any company from your broker. Gold ETF makes it easier for you to invest in gold. The investment objective of Gold ETF is to provide you with returns that closely correspond with the domestic price of real gold.
They are easy to purchase since you can buy even just one gram at a time. Over time, you can build up your gold portfolio to the level you want.
Gold ETF Features
|Transaction Charges||Jewellery||Gold Bars||Gold ETFs|
|Purchase||Making charge of15-20%||10-20% extra charge by banks||Brokerage of 0.5% or less|
|Sale||Loss of 10-20 % owing to purity issues||No buy-back facility by Banks, hence extra charges paid at time of purchase is lost||Brokerage of 0.5% or less|
|Maintenance||Insurance and/or locker charges||Insurance and/or locker charges||Nil|
|Tax Implications||Long term capital gain tax benefit (only after 3 years)||Long term capital gain tax benefit (only after 3 years) coupled with wealth tax||Long term capital gain tax benefit (after 1 year)|