I wish to invest in gold and wish to know how I can do so?
Mrinalini Ajnara, Baroda
There are a couple of ways by which you can have an exposure to gold. For instance, if you are looking at converting the metal into jewellery, then the best option available is to buy gold physically in the form of bars and coins. If you are looking at investing in gold, there are three ways to approach it; first, you can invest in funds that invest in gold mining funds, or invest in paper gold through gold exchange traded fund (ETF). In case of the gold ETF, you buy the gold units from the stock exchange for which you need a demat account to buy and sell the units on the stock exchange. Lastly, you could also invest in gold funds, which have a portion that invests in the gold ETF and the balance in equity or debt of varied allocation depending on the stated objective of the fund. You can choose the mode of investing into gold based on your convenience and investment needs.
