The Global gold prices have risen by 20% in last one year and the 14% in last 3 months, while domestic gold prices are up by 23% and 15%, respectively, for same time periods.
Gold, typically, accompaniments as a safe haven in times of uncertainty, and the global trade wars, tensions between the Iran and western nations and slowing global economies are all contributing to a feeling of uncertainty. India is not resistant to these conditions. In this article we have 2 unique options to invest in gold.
Sovereign gold bonds
Sovereign gold bonds are issued by Reserve Bank of India on behalf of Indian government. The bonds are denominated in multiples of 1gram of gold; the maximum one can invest in is 4 kilograms. The tenor of the bonds is 8 years, with the exit choice available after the 5th year.
This is a facility offered by MMTC-PAMP Private Limited, a joint venture between MMTC Limited and Switzerland-based bullion brand PAMP SA, to accumulate by the gold by buying the online through institutions, broking houses and payment platforms such as Stockholding Corporation of India Ltd (SHCIL), Paytm, among others.