What are the various ways to invest in gold?

There are various options to invest in gold – Physical gold, Gold ETFs (Exchange Traded Funds), Gold Mutual Funds, Gold Schemes, Digital Gold, and Sovereign Gold Bonds.

Physical Gold – Physical gold is tangible and can be in the form of a gold coin, bar, or ornament. Anyone may purchase gold directly from banks, bullion exchanges, and jewellery stores.

Gold ETFs (Exchange Traded Funds) – Gold ETFs are a paper representation of physical gold. One gram of gold is equivalent to one unit of gold ETFs. This physical gold is of very high purity. These are traded on the stock exchange.

Gold Mutual Fund – Gold MF is a type of mutual fund where investors' funds are directly and indirectly invested in gold mining companies or gold bullions etc. It reduces the risk and is regulated by SEBI.

Gold Schemes - Gold schemes are mainly offered by jewellers. Generally, this type of scheme varies from one jeweller to another. These schemes are generally available to retail customers.

Digital Gold – Digital gold is a sort of virtual asset which is available through various authorised web applications or gateways. Minimum investment can be as low as Re 1.

Sovereign Gold Bond (SGB) – The RBI issues this type of bond. These are government securities denominated in grams of gold. Investors receive an acknowledgement in exchange for holding a particular weight of gold. Even these bonds are traded on the exchange after a particular period of time.