Tuesday, July 19, 2016

Invest in Sovereign Gold Bond

Investing in Sovereign Gold Bond(SGB) issued by RBI is a better option than investing in Gold ETF, as you need not pay ETF maintenance cost and gold insurance(this is being realised by selling GETF units and you won't know it). Unit price of first Indian Gold ETF ie. GoldBees on IPO(Rs.962/-) was equivalent to one gram 24 carat pure gold and it's value now is not enough to buy one gram 22 carat ornament gold. The issue price of SGB 4th tranche is fixed at Rs. 3119/- per gram. It is advisable to include gold also in your portfolio and it need not go more than 10-15 % of your total investments.

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