Gold ETF: Investing in gold is just like securing your future and your investments in Bank FD. Jewellery made of gold plays a beautiful role in the investment sector.
Gold has always held a special place in the hearts of Indian investors, symbolizing wealth and security.
In 2024, Gold Exchange-Traded Funds (ETFs) became the star investment choice for seasoned and new investors. Gold ETFs offer unique benefits that cater perfectly to the modern investor’s needs.Â
Key details about Gold ETFs:
A Gold ETF is a type of exchange-traded fund that tracks the price of gold. Instead of buying physical gold, you invest in units of the ETF, which are backed by actual gold reserves. These units are traded on stock exchanges, just like shares. This means you can enjoy the benefits of investing in gold without worrying about storage, purity, or any robbery just like happened in ancient periods.
Why Were Gold ETFs a Hit in 2024?
1. Rising Gold Prices:
In 2024, global economic uncertainties, inflation concerns, and geopolitical tensions pushed gold prices to new heights. Gold ETFs mirrored this trend, offering impressive returns. In India, the price of gold per 10 grams crossed ₹60,000, and ETFs closely followed suit, making them an attractive option for investors looking for safety and growth.
2. Protection Against Inflation:
Gold is often considered a safe haven during inflation. As the value of the rupee fluctuated this year, Gold ETFs provided a reliable store of value, protecting investors from losing purchasing power.
3. Liquidity and easy Convenience:
Gold ETFs offered the flexibility of trading during market hours, making them highly liquid. Unlike physical gold, there’s no need to worry about storage or paying for locker charges. Selling Gold ETFs is as simple as clicking a few buttons.
4. Tax Efficiency for Investors:
For long-term investors, Gold ETFs are more tax-efficient than physical gold. There’s no GST on purchase, and gains are subject to capital gains tax, which can be lower if held for more than three years.
5. Affordability and Accessibility:
Gold ETFs allow even small investors to invest in their portfolio with as little as ₹50 to ₹100. They are especially attractive to Indian investors who view gold as a safe and traditional asset but also want the modern advantages of digital investing.
Recent Gold ETF Performances:
In 2024, some of the leading Gold ETFs in India, such as SBI Gold ETF and HDFC Gold ETF, delivered returns of 15-20%. With gold prices surging, these ETFs became a top choice for institutional investors and retail buyers.
Why Invest in Gold ETFs?
Benefits:
Easy Entry and Exit: No need to visit a jeweler or bank; buy or sell through your Demat account.
Cost-Effective: Save on making charges and premiums associated with physical gold.
Transparent Pricing: Prices are linked to real-time gold rates, ensuring fair value.
Without getting no loss and tension users can easily be driven into high profit with remarkable refunds in the upcoming future especially in 2025.
For Indian investors, Gold ETFs offer a seamless way to own gold without the challenges of losing anything related to money or getting high risk in investment.Â
Whether you’re an experienced investor or just starting, Gold ETFs are worth considering for a secure and profitable financial future.
You can invest in gold by creating a demat account in Angel One.
Gold ETF