BEST way to invest in GOLD | Physical Gold vs. Digital Gold vs. Gold ETF vs. SGB

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  • Опубліковано 7 лют 2025
  • Do you want to know how to buy gold other than jewelry? How to make wise investment decisions on Gold?
    This video explains the different ways to buy gold in India. It also explains the advantages and disadvantages of each method. we have made a detailed comparison of all the methods to help you make gold investment choices.
    We have compared each type of investment based on ease of access, Liquidity, risks, cost, GST, wastages, Spread and income tax.
    PHYSICAL GOLD vs DIGITAL GOLD vs SOVEREIGN GOLD BOND vs GOLD ETF vs GOLD FUNDS
    1) Physical gold (Gold Jewelry): Gold jewelry comes with a host of charges such as wastage, making charges and 3% GST, that can add up to 15%-25%. So, if you are spending Rs 1 Lakh in Jewelry, you get only 22Karat(or less) gold that is worth ~ Rs 75K to Rs 85K
    2) Physical gold (Gold coins and bars): The wastages and making charges are much lower than gold jewelry, but it is still a considerable amount (2% to even 10%). We need to pay 10% GST for coins and bars.
    3) Digital Gold: It helps you to buy even is very small quantities via Gpay, Paytm etc. It doesn't have a risk of theft as these are stored in safe vaults of the companies that sell digital gold. Digital gold also comes with some charges such as spread (3%), making charges if converted to coins and 3% GST.
    4) Gold ETF: With a Demat account, you can purchase gold ETF from stock market. There is no risk of theft, No GST. However, there is a small expense ratio ( less than 1% per year) that needs to be paid. LTCG and STCG applicable
    5) Gold mutual funds: if you want to invest in SIP, gold mutual funds provide a good option. However, it has higher expense ratio making it costlier than Gold ETF. LTCG and STCG applicable.
    6) Sovereign Gold Bonds: Issued by RBI on behalf of Govt of India, it is one of the safest routes to invest. There is a a maturity period of 8 years, but can be redeemed after 5 years or can be sold in stock market before 5 years. Additionally it gives ~2.5% simple interest on invested amount every year.
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КОМЕНТАРІ • 41

  • @rajat1974
    @rajat1974 Місяць тому

    Thanks for the detailed research and presentation. I am not buying digital gold anymore.

    • @Aryan30161
      @Aryan30161 18 днів тому +1

      Why you will not buy digital gold sir?
      Any reason

    • @santhoshsam705
      @santhoshsam705 9 днів тому

      Why sir ?

  • @ashmac3295
    @ashmac3295 19 днів тому

    You are posted Simple and detailed video I got cleared my doubts in this video. Thank u

  • @sudhareee19
    @sudhareee19 Місяць тому +1

    Thanks for the detailed explanation

  • @santhoshmessi5449
    @santhoshmessi5449 21 день тому +1

    Really awesome research and presentation❤ So I am your new subscriber

  • @mastertheblaster6061
    @mastertheblaster6061 Місяць тому +1

    I did these calculations and bought sgp on 2020 pandemic time. 😂😂 Getting the expected return perfectly apart from.my stock market investment

  • @anandsundaram3652
    @anandsundaram3652 Місяць тому

    Bro its a gud workout, one point i want to add , since the liquidity is the only issue for SGB we can buy it in secondary market ie. Thru demat when ever the price drops particularly when stocks boomup.

  • @ksaravanakumar8042
    @ksaravanakumar8042 15 днів тому

    Good explanation example was useful

  • @funtimetamil3441
    @funtimetamil3441 Місяць тому +1

    Direct Tax Code pathi video podunga bro

  • @saravananm12345
    @saravananm12345 Місяць тому +1

    Awesome as always!!!!

  • @santhoshsam705
    @santhoshsam705 9 днів тому

    Please make video about investing in gold mining companies.

  • @h.1839
    @h.1839 6 днів тому

    Bro new tax slabs pathi videos podunga

  • @harisfathima8581
    @harisfathima8581 13 днів тому

    Great bro

  • @Aryan30161
    @Aryan30161 18 днів тому

    Awesome

  • @mano.bpharm
    @mano.bpharm 15 днів тому

    Well explained Keep it up

  • @madheshwarang7119
    @madheshwarang7119 Місяць тому

    Mass work brother 👏👏👏

  • @RajeshKannan-q5p
    @RajeshKannan-q5p 21 день тому

    Gold ETF and Gold Bond la expense ratio naama vangumpothu ulla value la irunthu kalichuttu meethi ulla value ku thana vanga mudiyum. From your example 100000 ku bond vanguna 0.80% expense ratio iruntha nammalala 99200 ku thana vangirukkavae mudiyum. So initial amount la yae kuraikkama mature amount la kurachu irukkinganu ennoda thought.

    • @thinkingtamizha007
      @thinkingtamizha007  21 день тому

      Exp ratio is a year on year deduction. It is not deducted at the time of purchase, it is deducted on a daily basis from the NAV.

  • @prakashvasudevan9516
    @prakashvasudevan9516 Місяць тому

    Great Work 👍

  • @manjuladevi8633
    @manjuladevi8633 18 днів тому

    Sir IT new tax regime calculator post panunga

  • @Ranjethemail
    @Ranjethemail 18 днів тому +1

    I appreciate the efforts in making this video. But Gold is as volatile as the Nifty Index and for your information kindly look at the Gold returns during the window of September 2011 to February 2024 the returns are anywhere between -ve to +ve 50% absolute returns depending on when you have invested. Investing in gold is best because you can use it in tough situations to get a quick loan or to liquidate. So in my POV gold should not be considered for gaining returns from it, instead it should be considered as an hedge against bad economic conditions.

    • @thinkingtamizha007
      @thinkingtamizha007  6 днів тому

      Gold is definitely less volatile than equity.. hence it is definitely needed in portfolio for capital protection..
      This video is abt comparison of different ways to buy gold.. not to promote gold over equity or others.. and vice versa.

    • @Ranjethemail
      @Ranjethemail 6 днів тому

      @@thinkingtamizha007 Nope factually you're wrong. Kindly take the standard deviation of both Nifty50 and Gold, analyse it, you will come to know both are similar in terms of volatility.
      There is an in-depth article on the same by Pattu sir's freefincal website. look into it.

  • @030-rishikaran.r4
    @030-rishikaran.r4 14 днів тому +1

    Gold shop la ex thangamyil la digital gold vagauna nega solra risk eruka?

    • @thinkingtamizha007
      @thinkingtamizha007  6 днів тому

      It will also have gst.. i dont know if there will be spread.. if u want to buy electronically, better choose etc/mf/sgb

  • @TheKiiran22
    @TheKiiran22 3 дні тому

    Investing on gold etf will target capital fain tax of 12 per on selling, so its not like gold etf are better than physical gold. No finanxial influencers dont say on this...like your channnel

  • @gurunaresh1756
    @gurunaresh1756 Місяць тому +3

    It seems, SGB is going to be discontinued as it is a loss for the government only.

    • @Aryan30161
      @Aryan30161 18 днів тому

      Really, thought of investing

    • @shankar7204
      @shankar7204 15 днів тому

      Close pana poranga soon

  • @vinitha96
    @vinitha96 Місяць тому

    Where have you been 😢

  • @vjvlog2610
    @vjvlog2610 Місяць тому

    Ennaku oru doubt any one clear me
    Eppo etf la na investment panra 12 month kulla na sell panra appo ennaku o% tax but entha mathiri 2 time panra
    2 year etf invesment panra ovoru yearum na sell panranala 1 year ku 0% tax next year tax 12.5 % charge pannuvangala

    • @thinkingtamizha007
      @thinkingtamizha007  Місяць тому

      Kelvi purila

    • @vjvlog2610
      @vjvlog2610 Місяць тому

      @thinkingtamizha007 ella sir na etf gold investment panra 1 year la stocks sell panra athuku 0% tax then continue panra next year end la sell panra appo ennaku 0% tax varum or 12% varuma

    • @thinkingtamizha007
      @thinkingtamizha007  Місяць тому +1

      etf la 0% tax kedayadhu.. either stcg or ltcg.. vangina unit after 12 months vitha, ltcg illana stcg.