Investing in gold with demat account

In these troubled times when every possible investment instruments from shares to bonds are struggling to give even normal rate of return gold maintained its glory of best investment option of all time. As all other investment options are in deep stress, gold is attracting fresh investors, pushing the prices to new high. However, buying gold in physical form like jewelery is a big problem due to impurity and resale value issues. Now you can use your demat account to invest in gold without worries of impurity, security.

1. Gold ETF

The gold exchange-traded fund (ETFs) are a great option for investors who want to invest in gold but without storing them. With this, you can invest in units of gold. All you need is a demat account to start buying and selling gold ETF. The process works as mutual funds and you can be assured about the quality of the gold. Your gold remains safe and you don’t have to go to the market to sell it. Gold ETFs give you tax benefits too. The best part is that you don’t need too much money for this.

2. E-gold

Investing in electronic gold or E-gold has become very common these days as that makes things easier for the investors. All you need to do is to go to the NSEL website and find a list of the depositories to open a demat account for this. You need a separate demat account for gold E-gold investment. Once you have that, it becomes very easy to trade with gold online. You need to invest in gold units and trade accordingly. You can sell them anytime you want and get the price for it.

3. Gold funds

The gold funds are like the mutual fund investments. This investment doesn’t require any demat account. You get all the same facilities from gold funds as you get from other gold investment options with demat account. You won’t have to store gold and maintain complete safety with the investment. Do adequate research about the fund houses before investing in them.

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