Find me on Google+ Find me on Facebook Follow me On Twitter Subscribe to RSS

About the Author

author photo

Shabbir is an online entrepreneur in the field of Internet Marketing and is devoted to optimization and usability of his websites. Apart from doing trading he blogs about Internet Marketing Tips @imtips.co

All Articles by

Gold Exchange-Traded Funds (GETF)

Gold exchange-traded fund (or GETF) is a special type of exchange-traded fund (ETF) that tracks the price of gold. Performance of the fund is exactly same as the performance and price of Gold.

This should be the right time to do some investment in Gold and preferably in Gold Exchange-Traded Fund. Some reasons I can think of straight away are.

  1. Commodities all over the world has shown signs of weakness. This should be right time to start accumulating Gold.
  2. Gold is a commodity which does not loose its value when invested intelligently and with a long term view.
  3. Buying Gold from Institutions like HDFC / ICICI has an inherent problem of paying 5-10% higher value than market value no matter what offer comes.
  4. If you buy premium Gold Mudras from HDFC / ICICI they would not buy back from you when you want to sell and so if you sell in the market you would not get the right premium price which you paid when purchasing.
  5. You would get Tax benefit if you remain invested for 1 year or more but for Gold its 3 years.

If you would like to invest in Gold ETF’s here are few of them

  • Kotak Gold ETF
  • Reliance Gold ETF
  • UTI Gold ETF

The performance of the above funds does not vary much and are all benchmarked to Gold price and you do not hold the risk of keeping gold in your lockers. Gold Exchange Traded Funds can be bought and sold like any other Stock on National Stock Exchange ( NSE ) but on Bombay Stock Exchange ( BSE ) and kept in your Demat account online

Share ...

How My Technical Analysis eBook Can Transform An Average Investor into A Market Analyst

Learn Technical Analysis

If you're trying to make money from equity market, you should understand how the market works and not bet on your luck.

Technical analysis and chart pattern can revolutionize your understanding about the market and help you understand when is the right time to get into any stock and what should be your possible target for the stock.

My eBook helps you get equipped to understanding the market from practical point of view which means unlike many other technical analysis books my eBook does not explain all possible technicals and patterns that any student need to know.

In short I have explained technicals that I use when trading and investing in market.

Click here to find out more …

16 Responses to “Gold Exchange-Traded Funds (GETF)”

  1. Abrar says:

    Is there delivery in ETF

    foe rg. I want to have physical delivery of the gold is it possible

  2. Actually you cannot. If you want the physical delivery the best bet is to buy either through MCX ( for which you may need to pay VAT ) or through banks like HDFC / ICICI.

  3. Mutual Fund says:

    Well that’s a brilliant idea! Surely the women folk will be very much excited to hear it.

  4. Suraj says:

    Hello Shabbir,

    I want to know more about Gold ETF’s.
    I made invested in Mutual Funds. How to invest in Gold ETF?

    Is it same like buying share through demat account?

    thanks
    Suraj

  5. samir attar says:

    Thanks for your information.

  6. Raj says:

    Shabbir,

    How long can i hold this units in ETF ?,
    Should it be sold by end of every month ?

  7. Raj says:

    Do you do financial advise for NRI ?, If yes can list your contact mail id.

  8. shyam menon says:

    Can I buy Reliance Gold ETFs now? Is there any specific timing to buy this Gold ETF to get maximized returns?

    • Gold is something which you can buy anytime for a very long term investment.

      • Rachit says:

        Shabbir,
        I am 26, bachelor. i am planning to invest in Kotak Gold mutual Fund through 3000Rs Sip. It is a fund of funds and has a higher expense ratio of 1.50% as compared to 1-1.2% for gold ETF.
        Suggest me whether i should continue with kotak Gold mutual Fund or switch to gold ETF. my saving prospective is for 20yrs for my kids.

  9. ravindra says:

    how to buy gold from stock markt, i have trading acct with hdfc and sharekhan, which institution have miimum brokarage for transections. Pl guide Shabbir

Leave a Reply

Spam protection by WP Captcha-Free

Disclaimer- Trading have large potential rewards, but also large potential risk. You must be aware of the risks and willing to accept them in order to invest in the markets. Don't trade with money you can't afford to lose. This website is neither a solicitation nor an offer to trade in market. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this website. The past performance of any trading system or methodology is not necessarily indicative of future results.
Learn how to make money in equity with my free e-book. Get your free copy now