INSUBCONTINENT EXCLUSIVE:
NSEL's e-gold enables investors to park their funds into gold in small denominations in demat form.Those looking to invest in gold today
have multiple options to choose from
One can invest in physical gold, in the form of jewellery, coins or biscuits, or set up a demat account to purchase gold
funds), and gold schemes such as gold-denominated bonds
In contrast to physical gold, financial products such as gold ETFs act like mutual funds, wherein the value of investment is linked with the
market price of the underlying asset
It is available on the pan-India electronic trading platform set-up by National Spot Exchange, which can be accessed through members of NSEL
Investors can buy, accumulate, hold and liquidate e-gold as well as convert the corpus into physical gold.2
Gold Exchange Traded Funds (ETFs)Gold ETFs are similar to mutual funds wherein investors can buy their units online and keep them in a demat
Gold ETFs are traded on the cash market, and can be bought and sold at market prices
Investment in gold ETFs attracts much lower expenses as compared to physical gold, according to the NSE's website - nseindia.com.3
Sovereign Gold Bond (SGB) SchemeSGBs are government securities denominated in grams of gold
They are substitutes for holding physical gold
Investors have to pay the issue price in cash and the bonds are redeemed in cash on maturity
The bonds are issued by the RBI on behalf of government
The central bank notifies the terms and conditions for the scheme from time to time
Here's the schedule of the issuance of gold bonds under the Sovereign Gold Bond (SGB) scheme:TrancheDate of SubscriptionDate of
05-09, 201914-Aug-192019-20 Series IVSeptember 09-13, 201917-Sep-19(Source: rbi.org.in) 4
Gold Deposit Scheme (GDS)The deposits outstanding under the Gold Deposit Scheme (GDS) are allowed to run till maturity unless these are
withdrawn by the depositors prematurely as per existing instructions
All designated banks are eligible to implement the scheme.5
Indian Gold Coin SchemeMMTC or Metals and Minerals Trading Corporation of India has been authorized by the central government to manufacture
India Gold Coins (IGC) and supply these coins to the domestic market, according to the RBI.Get Breaking news, live coverage, and Latest News
from India and around the world on TheIndianSubcontinent.com
Catch all the Live TV action on TheIndianSubcontinent 24x7 and TheIndianSubcontinent India
Like us on Facebook or follow us on Twitter and Instagram for latest news and live news updates.
