Gold In Portfolio

Download Tax Saving Mutual Fund Application Forms

Invest In Tax Saving Mutual Funds Online

Buy Gold Mutual Funds

Leave a missed Call on

94 8300 8300

 

Although gold prices are at present hovering near their all-time high in the Indian market, investors are heaping-up gold in their portfolio. But interestingly, it is not physical gold which they are heaping-up, instead it is Gold ETFs (GETFs), in which they are evincing interest into.

Ever since the worries of Euro zone debt crisis have gripped the global economy, investors in India too are taking refuge under the precious yellow metal (through GETFs) due to its trait of being a safe haven. This is clear depicted by the ascending trend of the chart above where Assets Under Management (AUM) of GETFs, have swelled from Rs 4,800 crore of AUM in April 2011, the AUM under GETFs have risen to Rs 10,312 crore.

We believe that the rising trend in GETFs indicates that wisdom is dawning upon investors in India, as they have shown preference to invest in gold the smart way.

We are of the view that exposure to gold (through GETFs) should be an integral part of one’s portfolio and can help in diversification. This is because of negative correlation which gold has with other assets like equity – especially during uncertain times. Given the gloom clouds surrounding the global economy due to the burgeoning debt crisis in the Euro zone and slump in economic growth across economies, we think that one should continue to invest in gold, as the secular uptrend appears intact. Yes, any temporary relief measures taken by the Euro zone, like the famous bailout packages may bring in some consolidation in the gold prices but unless a long term solution is chalked out by the Euro region, gold will continue to outperform other asset classes. In our view, one should always have a minimum of 5% – 10% allocation to gold and invest in it with a long- term investment horizon of 10 to 20 years.

If you do not wish to open a demat account, you can invest through a gold fund of fund (FoF). Such a fund just invests in the open-ended Gold ETF with the advantage of not needing a demat account.

For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call

Leave a missed Call on 94 8300 8300

Leave your comment with mail ID and we will answer them

OR

You can write back to us at

PrajnaCapital [at] Gmail [dot] Com

---------------------------------------------

Invest Mutual Funds Online

Invest Any Mutual Fund Online

Download Mutual Fund Application Forms from all AMCs

Download Mutual Any Fund Application Forms

---------------------------------------------

Best Performing Mutual Funds

1. Largecap Funds Invest Online
1. DSP BlackRock Top 100 Fund
2. ICICI Prudential Focused Blue Chip Fund
3. Franklin India Bluechip
4. ICICI Prudential Top 100 Fund

B. Large and Midcap Funds Invest Online

1. ICICI Prudential Dynamic Plan
2. HDFC Top 200 Fund
3. UTI Dividend Yield Fund
4. Birla Sun Life Front Line Equity Fund
5. Franklin India Prima

C. Mid and SmallCap Funds Invest Online

1. Reliance Equity Opportunities Fund
2. DSP BlackRock Small & Midcap Fund
3. Sundaram Select Midcap
4. IDFC Premier Equity Fund
5. Birla Sun Life Dividend Yield Plus
6. SBI Emerging Businesses Fund
7. HDFC Mid-Cap Opportunities Fund
8. ICICI Prudential Discovery Fund

D. Small and MicroCap Funds Invest Online

1. DSP BlackRock MicroCap Fund

2.Franklin India Smaller Companies

E. Sector FundsInvest Online

1. Reliance Banking Fund
2. Reliance Banking Fund
3. ICICI Prudential Banking and Financial Services Fund

F. Tax Saver Mutual FundsInvest Online

1. ICICI Prudential Tax Plan

2. HDFC Taxsaver

3. DSP BlackRock Tax Saver Fund
4. Reliance Tax Saver (ELSS) Fund

G. Gold Mutual FundsInvest Online

1. Relaince Gold Savings Fund
2. ICICI Prudential Regular Gold Savings Fund
3. HDFC Gold Fund
4. Birla Sun Life Gold

H. International fundsInvest Online

1. Birla Sun Life International Equity Plan A

2. DSP BlackRock US Flexible Equity

3. FT India Feeder Franklin US Opportunities

4. ICICI Prudential US Bluechip Equity

5. Motilal Oswal MOSt Shares NASDAQ-100 ETF