Posted On Monday, Nov 05, 2018
Since centuries, no matter who ruled the earth Gold has stood up as the most precious commodity. Across the globe in every society be it tribal or civilized, Gold is known for having universal recognition & acceptance.
India’s relationship with Gold is quite unique, since time immemorial, gold is used to celebrate every auspicious occasion be it birth, marriage, spiritual ceremony or an important festival. With its demonstrated ability to beat inflation & stability that it offers during periods of crisis, Gold is also an important instrument of choice for investors.
Today one can invest in Gold as an asset by either buying gold physically or by investing in them electronically. The latter is seen as a more convenient option as it simplifies the gold buying process and provides better liquidity when selling it. Electronically, one can buy gold at its market price in open market like buying stocks. These scripts are called Gold ETF’s (Exchange Traded Funds) who invest in physical gold of 99.5% of purity. Gold ETF unit is equivalent to 1 / half gram of gold.
Selling off a physical gold is quite a challenge as one has to find a trusted jeweler who can buy the gold at market price. Apart from that there are several other charges attached like making charges which are quite a waste. Carrying the gold to jewelry stores also carries a risk of theft. Also when you buy physical gold there is risk of impurities and adulteration which can compromise the quality of your gold.
Comparatively, cost of buying and selling Gold electronically is far less as compared to the cost involved in buying a physical gold. The transaction in Gold ETF’s happens online so there are no costs involved in storing and insuring it. Also unlike other charges like making charges are not involved and the risk of theft is also eliminated.
Most importantly investing in Gold ETFs provides the necessary diversification to your portfolio of investments. Such diversification is essential to mitigate the risk of your investments.
These days Gold ETF’s have become very popular among the masses. To invest in Gold ETF’s, one needs a Trading & Demat Account. The minimum that one can buy in ETFs is Gold of at least one unit which is equal to 1 / half gram of physical gold. With Quantum AMC you can invest in half a gram option for each unit.
So this Diwali invest in gold in the most convenient and safest way with Quantum AMC.
Click here to Know More about the Quantum Gold Fund ETF
Click here to Know More about the Quantum Gold Savings Fund
Name of the Scheme & Primary Benchmark | This product is suitable for investors who are seeking* | Risk-o-meter of Scheme |
Quantum Gold Fund ETF (An Open Ended Scheme Replicating / Tracking Gold) | • Long term returns • Investments in physical gold | Investors understand that their principal will be at Moderately High Risk |
Quantum Gold Savings Fund An Open Ended Fund of Fund Scheme Investing in Quantum Gold Fund | • Long term returns •Investments in units of Quantum Gold Fund - Exchange Traded Fund whose underlying investments are in physical gold. | Investors understand that their principal will be at Moderately High Risk |
Statutory Details and & Risk Factors:
The views expressed here in this article are for general information and reading purpose only and do not constitute any guidelines and recommendations on any course of action to be followed by the reader. Quantum AMC / Quantum Mutual Fund is not guaranteeing / offering / communicating any indicative yield on investments made in the scheme(s). The views are not meant to serve as a professional guide / investment advice / intended to be an offer or solicitation for the purchase or sale of any financial product or instrument or mutual fund units for the reader. The article has been prepared on the basis of publicly available information, internally developed data and other sources believed to be reliable. Whilst no action has been solicited based upon the information provided herein, due care has been taken to ensure that the facts are accurate and views given are fair and reasonable as on date. Readers of this article should rely on information/data arising out of their own investigations and advised to seek independent professional advice and arrive at an informed decision before making any investments. Please visit – www.quantumamc.com/disclaimer to read scheme specific risk factors.
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