As women, we love to show off our gold jewelry as they define our social status, lifestyle and earning capacity. Weddings, anniversaries or Akshaya Tritiya, we rush to get our favorite ornament made of gold.
We hear our moms and grandmoms say, “Buy Gold, it would help when you are in need of money”. Meaning, traditionally Gold is not just a piece of jewelry but is considered as an investment.
Then why does the business magnate, Warren Buffett, does not invest in Gold?
He says: “It doesn’t do anything but sit there and look at you.”
Do investments in Mutual Funds fetch better returns? But do I choose Mutual Funds or Gold?
Let me list down the differences between the two, this will help you to make the right choice.
Investment in Gold
Investment in Mutual Funds
- Gold is not affected by market conditions.
- The process of investing gold and managing investments is an individual’s responsibility.
- Fear of theft or loss of purity is more as Gold is a physical asset.
- Diversification can happen only if one chooses to invest not just in Gold, but in silver, or other mining products.
- Value of Gold is more hence the amount you invest in Gold would naturally be high.
- Gold remains to have the same value unless someone buys it at a higher price.
- Gold incurs making charges and wastage
- Mutual funds are affected by market conditions so there is potential to earn higher returns.
- Mutual Funds are handled by Professional Fund Managers who perform research and guide your investments in Mutual Funds.
- Mutual funds are invested in stocks, bonds, or Gold ETFs, they are electronic or online investments.
- Mutual funds provide the option of diversification as it allows investment in bonds, cash, or commodities like gold and other precious metals.
- Initial Investment in Mutual Funds can be as small as Rs. 500 Read More: Let your money grow
- Investments in Mutual Funds earn high returns as time passes. Mutual Funds Providing >15% returns.
- Mutual Funds have no such charges, in fact, investment in Direct Mutual Funds don’t even have commission charges.
Does this mean I cannot invest in Gold? No, they are better ways to invest in Gold.
Yes, MyWay Wealth, India’s most trusted app for Direct Plan Mutual Funds, allows you to invest in Gold through Digital Gold – 24K Gold, where:
- You can buy the desired quantity or amount of gold above Rs. 1000 and purchase it at the live price quoted.
- Track your gold value & transactions anytime from your gold tracker.
- Sell any amount of gold above Rs. 1 & get the amount credited in your bank account within 72 hours.
- Get gold coins/bars delivered to your doorstep when you have more than 1gms of Digital Gold.
Start Investing in MyWay Wealth