Since stock market investments such as Gold ETFs do not allow systematic investment plans unlike regular mutual funds, the best way is to do it yourself. Keep purchasing Gold ETF units at regular intervals. You can even buy one unit of a GETF, the price of which is benchmarked against gold price (minimum investment varies across schemes). ideally, you should aim at regularly putting away some money in an EYE This way you can average out your cost of acquisition.Tax status
investments in GETFs are taxed like debt funds. Withdrawals before a year will be taxed at your income tax rates and withdrawals after a year will attract long-term capital gains tax of 11.33 per cent (including surcharges and cess).
Risk involved
The scheme’s NAV will react to the bullion market movements. The investor could lose money over short periods due to fluctuation in the scheme’s NAV in response to factors such as economic and political developments, changes in interest rates and perceived trends in bullion market movements, and over longer periods during market downturns.
Read Following:
- Process for investing in GETF
- Investing in gold through mutual funds
- Why gold is a good buy in the current situation ?
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