Dhanteras But buying gold is considered auspicious. Many people buy gold jewelry, coins, etc. according to his capacity at the auspicious time of Dhanteras. This time there is a record rise in gold and silver prices. While the price of gold has crossed Rs 80,000 per 10 grams, the price of silver has also weakened. In such a situation, if you are planning to buy gold on Dhanteras for investment, then you should buy gold jewelery or invest in gold ETF (exchange-traded fund). Gold ETFs allow investors to invest in gold or gold-related asset classes, which are traded on the stock market. Let us know which of these two would be most beneficial for you to invest in.
In which case did investors get better returns?
There has been a record rise in the price of gold in the last year. The price of gold was Rs 61,690 per 10 grams on October 21, 2023, and it increased to Rs 80,420 per 10 grams on October 21, 2024. That means there has been a record increase of Rs 18,730 in the price. This is equivalent to a percentage increase of approximately 30.3%. If we look at the last three years, the price of gold has increased by around Rs 32,850. In this way, gold has given a return of around 68.9% in the last three years. Gold has given an excellent return of 108.9% in five years. Now if we look at the Gold ETF scheme, the average return in a year has been 29.12%. Meanwhile, the 3-year and 5-year returns have been 16.93% and 13.59% respectively. Therefore, it is a lower yield than physical gold. Commodity experts say that if you plan to invest in gold for a long time, buying physical gold will be beneficial. At the same time, if you want liquidity, gold ETF would be a better option.
Selling gold ETFs is easier than jewelry.
Physical gold typically has a higher price due to manufacturing and storage costs. On the other hand, the cost of acquiring and owning gold ETFs is less expensive. One cost associated with gold ETFs is the brokerage fees that must be paid when buying and selling. Another advantage of gold ETFs is that selling gold jewelry or coins can take longer, but gold ETFs can be bought or sold quickly on the stock market. If you are investing in gold for trading purposes, you can opt for the gold ETF.
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