For Quick Alerts
ALLOW NOTIFICATIONS  
For Daily Alerts

    What are gold funds? Should you invest in them?

    |
    What are gold funds? Should you invest in them?
    If you are looking for investment in gold in different forms you should have clear idea on the product. Usually, people get confused with gold fund and gold etf. However, they both are products from mutual fund.
     

    Click to know basics about Gold Exchange Traded Fund (Gold ETF)

    Gold funds are those which form a part of Mutual fund product, however, one should not confuse with gold etf as both are different from an investment avenue.

    Gold funds are equity oriented schemes which invest in gold ETFs, which are listed on the stock exchanges. They invest in companies which belong to gold sector.

    In this case, the movement of the fund depends on gold ETFs, which in turn directly track gold prices.
    The management fee for gold savings funds is higher, compared to an ETF.

    Investors who are not comfortable with trading and who do not hold a demat account can opt for this. However, it comes with additional cost as you have to pay maintenance fee for gold fund as well as gold ETF. They also have high exit loads.

    GoodReturns.in

    Story first published: Thursday, April 18, 2013, 11:47 [IST]
    Company Search
    Enter the first few characters of the company's name or the NSE symbol or BSE code and click 'Go'

    Find IFSC

    We use cookies to ensure that we give you the best experience on our website. This includes cookies from third party social media websites and ad networks. Such third party cookies may track your use on Goodreturns sites for better rendering. Our partners use cookies to ensure we show you advertising that is relevant to you. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on Goodreturns website. However, you can change your cookie settings at any time. Learn more