In India, Gold is an essential part of lives since ages. People are emotionally connected to gold and it comes an attraction point at the time of marriage seasons. Apart from jewellery, families also buy the gold in different forms such as coins and biscuits. But, since last few years, investment in gold without physical possession has been becoming normal for Indian gold investor.
Define Paper Gold?
When you buy gold but you don’t get gold in physical form instead you receive a paper or certificate and get returns based on actual gold price fluctuations. In short, you would not get physical aurous in return of investment.
How does it function in investment biosphere?
Three alternatives are there to buy gold through paper at present. Investors can buy the same as per their motive and capacity. We will discuss all the options simultaneously.
Conclusion
If you are planning to invest in paper gold then you should thoroughly go through the pros and demerits of the same. There are certain risks related to buying paper gold with large capital at first. Because, there is an element of counter party risk which one should not avoid. We have tried our best to bring down some of the vital points and it is up to you whether should go ahead with the same or not. Take a wise decision.
Thank you for your valuable time and please read other related stuffs available on our site.
read this also:-
what is blue chips in stock market