Gold - A wealth creator
For centuries, gold has been considered a symbol of security & prosperity. Indians buy or present gold extensively on important occasions, be it a wedding or some religious festival. It is considered to be one of the safest forms of storing wealth. These aspects of Indian culture has made India the world's largest consumer of gold (source: World Gold Council). Gold is considered as a safe haven for the future as it is valued as a savings vehicle and is one of the preferred investment avenues.
What is a Gold Fund?
A Gold Fund is an open ended Fund of Fund (FOF) scheme that invests predominantly in the units of A Gold Exchange Traded Scheme (A GETS). The scheme seeks to provide returns that closely correspond to returns provided by A Gold Exchange Traded Scheme (A GETS). You can invest in A Gold Fund just like any other mutual fund scheme without the hassles of opening a demat account, providing you an opportunity to take exposure into Gold as an asset class, in a convenient way.
Benefits of A GOLD FUND
• No Demat
• No Wealth Tax
• SIP Facility available
• Min. Inv.: Rs. 5000
Performance of SIP in gold
A Gold Fund enables you to invest in gold through Systematic Investment Plan (SIP), thus inculcating a regular savings habit to your investments. This ensures that you can reap the benefits of investing in gold through a small but regular amount. The following table shows the SIP returns in Gold for the past 10 years. It is seen that Gold has displayed a consistency in performance.
