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You must have heard about ELSS Fund but if you have not heard and you want to invest in it, then this blog can be helpful for you because in this blog we have provided all the information related to ELSS Fund so that you can be clear that you should invest in it or not.

What is ELSS FULL FORM

The full form of ELSS is :

EQUITY LINKED SAVING SCHEME

Meaning of ELSS Fund

ELSS stands for Equity Linked Savings Scheme. ELSS Fund is similar to an ordinary equity mutual fund scheme.

The only difference is that ELSS has a lock-in of 3 years. This means that you cannot withdraw your investment before 3 years.

Also, you get a tax benefit of Rs 1.5 lakh under Section 80C of Income Tax every financial year for investing in ELSS Fund.

Who should invest in ELSS Fund

Any HUF or individual can invest in ELSS. It is more beneficial for those who know about it. Can take the risk associated with it and stay in the investment for a long time.

Younger age investors can invest for a long time in ELSS funds. You can be happy to see your fund grow compounded, and take advantage of its unpredictable returns.

ELSS Fund Lock-in Period

ELSS funds have the shortest lock-in period among all types of savings schemes covered under Section 80C of Income Tax.

ELSS mature in the shortest period i.e. 3 years. The investor can withdraw his money anytime after that.

If you invest in ELSS through SIP, then each installment of the SIP is considered as a new investment.

Many investors have a perception that ELSS funds have a lock-in of 3 years from the date of first investment; but it’s not like that.

Every SIP installment is a new investment.

for example-

  • If you invest in ELSS Fund on 15th February 2021 aditya birla tax relief 96 fund If I buy a unit through SIP, then that unit will be locked for the next 3 years i.e. till 15th February 2024.
  • Similarly, the unit purchased next month i.e. on 15th March 2021 will be locked till 15th March 2024.

ELSS Fund Calculator

There is a tool that displays your ELSS Fund returns. It depends on your scheme and investment method. Like you have invested in Lump sum or invested through SIP.

This can be calculated by entering the investment amount, tenure and expected return % in the ELSS SIP calculator. ELSS SIP Calculator

Tax Benefits: ELSS Fund Tax Benefits

In an ELSS or Equity Linked Savings Scheme, an individual or HUF can save up to Rs 1.5 lakh under section 80C of the Income Tax Act 1961.

This means that Rs 1.5 lakh deposited in ELSS is deducted from your annual total income. In this way you can save a substantial amount in the form of income tax.

ELSS Fund Redemption (Payment Process)

In fact, there are as many tax saving investment options as possible. ELSS Fund is the only option with the shortest lock-in period (only 3 years) among them.

After the lock-in period of 3 years, you can redeem it, or get paid.

Now if you want to know whether these ELSS can be redeemed even within 3 years? So my answer would be – not at all. Because ELSS funds do not allow to receive payment before 3 years.

It is recommended by financial experts to invest for 5 to 7 years to get good returns from ELSS.

Redeem in odd situation

In case of exceptional circumstances like death of the investor, the nominee or legal heir can sell the investment only after 1 year from the date of allotment of the unit.

We can understand this in this way that if the investor dies after 5 months of buying the unit, then the nominee will get the unit at the same time. But he will have to wait for 7 months to sell the unit.

All those units get transferred to the nominee, but he cannot sell them for 1 year.

In this way the lock-in period is reduced from 3 years to 1 year in the event of the death of the investor.

Which is better NPS or ELSS

Although the tax benefit in NPS is ₹2 lakh per annum, of which ₹1.5 lakh is available under section 80C and ₹50000 under section 80CCD(1)B.

The maturity period of NPS is when the investor attains the age of 60 years, whereas the maturity period of ELSS is only 3 years.

Over a long period of time, the risk in ELSS gets reduced, and the compounding policy also gives good returns.

Top 5 Best ELSS Fund in 2021

While choosing an ELSS fund, it should be reviewed on various parameters, only then one should be selected.

The decision should be taken based on the financial goals of an individual and his risk taking ability.

Here in the table below is a list of some of the best performing ELSS Funds, which have shown good returns over the years.

ELSS FUND NAME

3 YEAR RETURNS

1 YEAR RETURNS

Mirae Asset Tax Saver Fund

15%+

36%+

Axis Long Term Equity Fund

15%+

20%+

Canara Robeco Equity Tax Saver Fund

12%+

34%+

Aditya Birla Sun Life Tax Relief 96 Fund

12%

16%

Motilal Oswal Long Term Equity Fund

12%

16%

Important notice- The figures in the above list are for your information only. Investors are advised to invest only after collecting the necessary information from their level before investing, considering their financial goals, risk appetite and returns.

Is ELSS safe: Is investing in ELSS funds safe?

If your objective is only to save tax then it is advisable not to invest in ELSS as ELSS is actually a part of equity scheme.

So one should always keep in mind that equity schemes can be risky. However, with the shortest lock-in period as well as tax savings and long-term investment, this fund can deliver much higher returns than other savings schemes.

While choosing an ELSS, one should invest only after considering its risk, lock in period and returns of previous years.

I believe this post ELSS Fund What (What is ELSS Fund in Hindi) You would have liked

Many investment options are available in today’s time like stocks, mutual funds etc. Among them, SIP is also an investment plan where you get very good profits, then if you do not know about SIP and you want all the information related to it, then this blog Must read till the end because in this blog we have given all the information related to SIP so that you will be able to decide whether you should invest in it or not.

What is SIP in English: What is SIP

SIP is a very easy way to invest in mutual funds. In this, you can save for a bigger goal by investing a fixed amount every month or at a fixed interval of your own.

sip With that small amount invested, you can get a huge amount in the long run. Through SIP, the investor has to invest a certain amount in Mutual Fund or Gold ETF etc. for a fixed period.

Investing through SIP is a very simple and better solution for those people who do not have much knowledge about investing in the stock market.

Meaning of SIP

SIP stands for Systematic Investment Plan or Systematic Investment Plan. This is the most popular way to invest in Mutual Funds systematically.

A large middle class section of the society keeps a part of its income in the form of savings; So that he can get financial security in future. Some people keep their savings in the bank. Some people who can take the risk also invest in the stock market.

Saving is considered right only when you invest it at the right place. Money invested in the right place also grows over time; And also protects your future.

Systematic investment planning is one such approach in today’s time; Which can give good return on your invested amount.

How SIP or SIP works

Under SIP, you invest a fixed amount of money in mutual funds continuously every month or at a fixed interval. Under this, you deposit a specified amount in a mutual fund of your choice at fixed intervals.

When investing through SIP, your bank account is linked with the scheme of mutual funds; And on the scheduled date of every month, money is transferred from your bank account to the MF Scheme.

So it is an automated way of investing. This inculcates your investing habit; And you don’t have to think about it again and again.

for example If you start investing ₹1000 in a SIP scheme; So every month ₹ 1000 will be deducted from your bank account; And will be invested in the scheme of mutual fund chosen by you.

In SIP you invest a fixed amount on a continuous basis; This reduces the risk of your investment in the long run.

Benefits of SIP or Benefits of SIP (SIP Benefits in Hindi)

Well, there are many benefits of SIP; Such as ease of investment, tax exemption etc.; But apart from these there are some other benefits as well. Let us know what are the benefits of SIP.

#1. small amount investment (Small Saving)

We know that it involves investing a fixed amount regularly at stipulated intervals. Therefore, it is very easy to get a small amount out of your daily expenses for investment.

You can get a large amount by investing small amount for a long period of time at fixed intervals. You can start investing in SIP from ₹500; Which can provide you good returns in the long term.

#2. Easy to Invest

sip Investing through this is very simple. For this, once you have selected your plan, on the specified date, the mutual fund company withdraws that amount from your account and deposits it in your chosen plan.

Your bank account is linked to the account under your SIP scheme.

for example If you plan to invest ₹500 every month; So every month that money is transferred from your bank account to the SIP account. Unit purchases are made with those rupees; Which will benefit you in future.

Thus, through SIP, you can easily make your investment without any hassle.

#3. risk reduction (Low Risk)

The biggest advantage of SIP is that the risk involved is very low.

for example You have ₹ 50000 to invest in the stock market. Now if you put those money together in the stock market; In such a situation, you do not know whether the market will go up or down the very next day. In this way your move will be very risky.

Now if the same investment is done by dividing it in small intervals, then the risk is reduced.

By depositing this ₹ 50000 through 50 installments of ₹ 1000, we can save ourselves from the loss of stock market volatility.

Thus SIP saves us from losses due to stock market fluctuations by not putting a large amount together and investing through small amount.

#4. Tax Rebate

When you invest through SIP; So you do not get any kind of tax on investing the capital or withdrawing that amount.

Schemes like ELSS which provide tax exemption. They have a lock-in period; By investing in such equity schemes for 3 years, you can get tax exemption under section 80C of Income Tax.

#5. Disciplined Investment

According to your SIP, a small amount is regularly withdrawn from your account and invested in mutual funds. This creates a system of discipline in your investing process. This saving discipline always encourages you; And you get into the habit of saving.

#6. Power of Compounding

Compounding means compounding. Compounding means getting interest on the interest of the money invested by you.

Whenever investment is made in SIP; the return on the amount invested; It is reinvested; Due to which the profit of the investor increases and his returns increase.

#7. Advance Liquidity

Most of the mutual fund schemes do not have any lock-in period. Investors can decide whether to continue or stop investing in SIP according to their need and goal. In this, the investor gets the facility of advanced liquidity along with good returns.

Some schemes like ELSS funds which have a lock in period of 3 years. Barring such a scheme, most of the schemes are like this; In which the investor can continue the SIP investment for a long time as per his need; or decide to close at any time.

#8. Rupee Cost Averaging

By investing through Systematic Investment Plan, you remain free from the fluctuations of the market. It is automatically invested at fixed intervals every month through SIP.

When there is a recession in the stock market, you get more units of Mutual Fund. When the same market is strong, you get fewer units.

Thus, in the long run, the average price of your mutual fund units is not affected by the volatility of the stock market.

If you want to know about Exchange Traded Funds then you are at the right place. In this blog you will be given all the information related to Exchange Traded Funds so that you will be able to decide whether you should invest in it or not.

Exchange Traded Fund

In fact, ETFs are a type of mutual fund.

It is called ETF or Exchange Traded Fund because it also trades like other stocks on NSE or BSE.

These can be bought and sold in the stock market in the same way as shares of a company are bought and sold.

In short, we can say that such mutual fund schemes that trade in the stock market are called ETFs.

What is ETF

Exchange Traded Funds are those funds which you can buy from stock exchanges like BSE or NSE etc.

These are similar to index funds of mutual funds.

You can buy index funds from a mutual fund company; But ETFs can be bought only from stock exchanges.

For example if you are buying SBI Long Term Fund; So buy from SBI’s AMC. But you can buy ETFs from the exchange itself.

This means buying ETFs is similar to buying shares.

ETFs are similar to index funds.

You buy and sell units of an index fund from a mutual fund house. But you can buy or sell ETFs only on the stock exchange.

Buying or selling of ETFs depends on the availability of the buyer or seller in the stock market.

To buy or sell ETFs, you need a demat account. Brokerage charges have to be paid on its sale like mutual funds.

Types of ETF 

There are many types of ETFs available in India. In which equity, debt or gold ETFs are seen.

Let us now know a little more about them as well.

Equity ETFs

You can buy Nifty 50 through ETFs. Nifty 50 contains the names of top 50 companies of India.

Just as the Nifty 50 will increase, so will your ETF returns.

Their expense ratio ranges from 0.05 to 0.01%.

Bond And Debt types of etfs

Their expense ratio ranges from 0.25% to 0.6%.

Gold ETF

You can also invest in gold through ETFs. Just as the price of gold will increase, in the same way the price of its ETF will also increase; And you can get good returns.

Their expense ratio ranges from 1% to 1.5%.

etf

Gold ETFs are available from most of the popular fund houses. in which

Global Indices

One can also invest in big companies like American company like Google, Facebook, Apple through ETF. like-

  • HANG SENG
  • NASDAQ 100
  • Dow Jones
  • Euro Stoxx 50 etc.

That’s why we can say that ETFs are a great option to invest in the stock market.

Whether you want to invest in Sensex, invest in Nifty or Gold, or invest in top foreign company.

You can get good returns by investing through ETFs.

Benefits of ETF

#1 ETFs have very low expense ratios, yet they are not that popular in India right now.

As the interest of the people in India increases, its expense ratio will also keep decreasing in future.

#2 One of its benefits is that no individual can invest in government securities; Whereas one can also invest in it through ETFs.

#3 Managing them does not require a large team of fund experts, as ETFs follow an index.

Therefore, the fund management fee is very less in this.

#4 Like a share in the stock market, you can buy or sell it anytime during any working day of the market. Hence good liquidity is found in it.

#5 If you have selected any index or commodity for investment; So you can easily choose the best ETF. Because ETFs also follow one or the other index.

Disadvantages of ETF 

1- Active Management Funds are well managed; Because investing is done by selecting a group of several stocks; Which gives good returns.

ETFs are called passive management funds. Therefore, they give relatively low returns.

2- ETFs are less popular right now in a country like India. So there are some ETFs that you may have to wait for a few days to sell.

Because you will sell only when there is a buyer available in the market.

Still, we can say that as its popularity increases, this problem will also decrease.

3- There are not many ETF options available in India as compared to developed countries.

where do you invest your money

Being a passive management fund, it follows the index itself and the fund is formed from it. for example-

  • Indian Indices like Nifty 50, Sensex etc.
  • Foreign Indexes like Nasdaq
  • Gold and
  • In industry sector like Pharma Sector, IT Sector etc.

How to Identify a Category of ETFs

By clicking on the ETF about which detailed information is needed, you can check their performance etc.

exchange traded fund

You can guess by looking at the list.

Based on the name of the ETF, you can know what type of fund it is.

For example, by the name of Birla sun life gold ETF, it can be known that it belongs to Birla Company; And follows the Gold Index.

In this way, we can know that the gold ETF which is written at the end follows the gold index.

Similarly, some ETFs are listed as Nifty, Nifty Junior or Nasdaq.

Based on that, we can know what this ETF is related to.

What is the fundamental difference between Mutual Funds and ETFs

In fact, ETFs are a type of mutual fund.

The fundamental difference between mutual funds and ETFs is that ETFs can be bought and sold just like stocks. Whereas other mutual funds cannot buy or sell the scheme directly from the stock market.

We buy mutual fund schemes from a mutual fund company; And redeem the unit with him or receive the payment.

Whereas ETFs are traded in the stock market; And you can buy or sell it in the stock market itself.

Just as each share has a value of its own; Similarly, ETFs also have a fixed price.

When the market opens, its price is fixed according to its demand and supply.

You can buy ETF from the stock market in real time i.e. at that time price at any time.

Whereas the unit price of a mutual fund is decided in the evening after the market closes.

This way, depending on your financial goals and risk appetite, you can get good returns by investing in ETFs.

etf

How to Invest in ETFs

As you know, ETFs are traded in the stock market and can be bought or sold from there.

For this you need to have a demat/trading account. Without this you will not be able to invest in it.

If you do not have a demat account; so you Zerodha You can start investing immediately by opening your account online sitting at home from a platform like

Zerodha Click or tap here to open Demat account from

You can easily operate Demat account in any mobile or computer.

How are ETFs Taxed?

Investments made in equity ETFs for more than 1 year are considered as long term investments.

Long term capital gains above Rs 1 lakh in a financial year attract 10% tax. There is no tax on LTCG less than 1 lakh.

Investments made for less than 1 year are considered as short term investments. Short term capital gains are taxed at 15%.

E-KYC has become very important in today’s time like if you want to open your bank account then you need ekyc for that, or if you want to get pan card then ekyc is required. So we can say that doing ekyc helps you in many things.

In this blog we are going to talk about ekyc, what is ekyc and how to get it done etc. so that you can get help to get ekyc done.

What is KYC

The full form of KYC is- Know Your Customer. It simply means- Know your customer.

It is a process in which a financial or other institution obtains information about the identity of its customer, his address or his age, date of birth, etc.

He also verifies these information through statutory certificates. This process of identifying the customer is called KYC.

What is eKYC

e-KYC Means : Electronic Know Your Customer

It can be understood in this way that the process of authenticating your customer’s identity in a digital or electronic way is called e-KYC.

In this, the process of customer identification is accomplished with the help of digital or electronic devices instead of paper certificates.

e-KYC Aadhar card based is a paperless process, What you must do before investing in mutual funds, Otherwise you will not be able to invest in mutual funds.

For investing in mutual funds e-KYC process of

Before investing in mutual funds, you have to complete the KYC process. You can do this either offline or online.

If you want to know about Mutual Funds then detailed information about it what is mutual fund, and how to invest in, is told through the article.

You can do e-KYC for investing in mutual funds from the website of CAMS Kra or iciciprudential. But while doing KYC with CAMS Kra, there is a restriction that you have to invest in any fund at the same time.

These restrictions are not comfortable for a new investor.

So today we will understand the process of e-KYC from ICICI Mutual Fund website; Because it does not require investment along with doing KYC.

Online e-KYC Required forms to be kept ready for

  1. mobile number
  2. E mail ID
  3. Mobile or laptop computer with camera for taking photos
  4. PAN card scanned image
  5. Scanned image of front and back of Aadhar card

E-KYC process steps

  1. In your mobile or computer browser, type- ICICIPRUAMC.COM/ONLINE-KYC

e-KYC

  1. When the online KYC page opens, first type your name.
  2. Enter E-mail ID, OTP comes on this E-mail ID.
  3. Enter your PAN number.
  4. Enter your 10 digit mobile number.
  5. Tick ​​the check box, and then click or type the Get OTP mark.

e-KYC

  1. Click on Choose File to upload ID Proof like PAN Card. And upload the already scanned image.
  2. As soon as the PAN is uploaded, the photo and its details will appear, which you should check carefully. If the information is correct, go to Next.
  3. Upload the front and back images of the Aadhar card for proof of address as per the procedure given above.
  4. Check Aadhar card details if it needs some correction; So you can correct that too.

Process of e-KYC continue

  1. Tick ​​the box for Term & Condition and go to the next step.
  2. All your information will be displayed on the next page; Check it out carefully.
  3. Select some other information like Address Type (Residential / Business) etc. and Annual Income etc., and proceed further.
  4. In the next step, select the details of Fatca etc. and go to the next step.
  5. Upload the scanned image of your signature on plain paper; And tick on Term & Condition.
  6. In the last step of e-KYC you have to upload your photo and video; For which click on face image. After clicking the photo a number will be displayed on the screen; Who has to speak in front of the camera. Thus this step is completed and a thank you message is received.
  7. After completing this process of e-KYC KYC Form Screen A page of . From where the link of Normal e-sign or Aadhar e-sign appears. In which you can complete this process through OTP by entering the details of Aadhaar.

How e-KYC is more simple and useful

  1. In online KYC, the entire process is completed in a very short time; Whereas the offline process sometimes takes 2 to 4 weeks.
  2. You do not need to collect paper certificates for e-KYC. This makes it easy for the customers as well as the service provider company. It works only with Aadhar card.
  3. Normally collecting a lot of records in KYC leads to unnecessary expenditure of money; Whereas in e-KYC this process is completed without any extra cost.
  4. We do not have to manually fill in the information because of the autofill feature; Which takes less time. Autofill also prevents type errors; Because all the information is taken automatically.

In this blog, we are going to know about ULIP, whether you should invest in ULIP or not, what can be its advantages, what can be the disadvantages etc. You will get to know all the information related to this blog.

Fill out a ULIP form

The full form of ULIP is

U – unit

L-linked

I- Investments

Plan P

Meaning of ULIP

ULIP (Unit Linked Insurance Plan) is a product of market linked investment. Also it is an insurance policy.

So it is a mix of insurance and investment that insurance companies bring to you.

It was first launched by the Unit Trust of India (UTI).

We can say that ULIPs are Insurance + Investment products.

How does ULIP work?

When you pay any one premium of the ULIP; Then a part of it is invested for insurance coverage and a part of the premium of the policy is invested in equity or debt funds.

ULIPs have a lock-in period of 5 years. This means that normally you cannot redeem it before 5 years.

Depending on the risk appetite of the customers, the facility to invest in large, mid, small cap, debt or balance funds is available.

You can also switch it between different funds.

There are two types of time duration in ULIPs.

premium term

It means for how long you want to pay your premium.

term of premium single premium That is, you can invest in one go.

Second fixed period For example, premiums can be deposited for 5, 7 or 10 years.

The third option is that you can deposit the premium at fixed intervals like monthly, quarterly, half-yearly or yearly.

policy term

The policy term of your ULIP can be from 5 to 30 years.

It is worth noting that the longer the premium payment period, the higher the premium amount.

This happens because the insurance company is giving you more time to pay the premium.

What are the tax provisions on ULIPs?

It is an EEE (Exempt, Exempt, Exempt) Exempt, Exempt, Exempt type product.

By investing in ULIP, tax exemption can be availed under section 80C of Income Tax on annual investment of up to 1.5 lakhs.

ULIP It is also exempted from taxation under LTCG (Long Term Capital Gains).

Tax exemption is also available on the payment received on its maturity.

ULIP charges

There are various types of charges in ULIPs. Let us now know about the charges of ULIP.

premium allocation charge

It is a part or percentage of the premium.

Policy Administration Charges

This charge is levied for the maintenance of the policy etc.

It is taken as a percentage; Or it can also be taken in flat form.

mortality charge

It depends on the health and age of the investor.

These charges are deducted at your unit.

fund management charge

It is a part of each NAV. This charge may vary according to each company and its different plans.

partial withdrawal charge

This charge is levied on withdrawing some part of your fund in the medium term itself.

Apart from this, there are surrender charges, which are levied if the payment is taken before the maturity period.

fund switching charge

These charges are levied on switching from one fund to another.

Is ULIP Good What It is better to invest in ULIPs

To invest in ULIPs, you need to have patience as well as a long time to invest.

If you are planning to invest in ULIPs; So make sure to think carefully whether you see that ULIP as an investment or as an insurance.

as a life protection product ULIP Nothing special.

Because the insurance on ULIPs is limited to a maximum of 15 to 20 times your annual premium.

for example- If you buy a ULIP with a security cover of Rs 1 crore, your premium will be ₹ 2 to 3 lakh.

Whereas a person of 30 years can take a term insurance of one crore with an annual premium of 10 to ₹ 15000.

ULIPs and Mutual Funds

Like mutual funds, you can invest in ULIPs by paying premiums at a fixed interval.

You can choose the premium as per your investment needs.

Like mutual funds, the rate of return in ULIPs is determined by the NAV.

ULIPs have a minimum lock-in period of 5 years; And it also includes insurance cover.

Similarly, some mutual funds like ELSS funds also have a lock-in period of 3 years.

The annual amount deposited in it up to Rs 1.5 lakh is also exempt from income tax under section 80-C of Income Tax.

Benefits of ULIPs

  • These are called long term wealth creation funds.
  • Investing in it for a long period of time can give a return of 10 to 12% along with security cover.
  • In this, 10 times your annual premium gets Sum Assured or Jeevan Suraksha cover.
  • ULIPs also give you the option to switch to different investment plans as per your requirement.
  • Profits from ULIPs are tax free as per 80C and 10D of Income Tax.
  • Apart from switching from one plan to another, you can also partially withdraw your investment.
  • You can also increase your investment by opting for a single premium payment option.

Risk Factor about ULIP Risks of ULIP

You must have seen advertisements of insurance companies.

They say at the end that “this market is subject to risks, please read the policy document carefully before investing” so make sure to go through it thoroughly before investing in ULIPs.

The returns of your Unit Linked Insurance Plan are directly linked to the performance of the market. Therefore, it may also have to face its risk in future.

Top companies from where to invest in ULIPs

  • Life Insurance Company of India (LIC)
  • SBI Life
  • Bharti Aksa Life
  • PNB Met Life
  • Canara HSBC
  • HDFC Life
  • Bajaj Allianz
  • Kotak Mahindra Life
  • Aditya Birla Sunlife
  • Max Life Insurance
  • ICICI Prudential
  • Aviva Life Insurance

Best ULIP in 2021

Given below is a table of some Unit Linked Insurance Plans (ULIPs).

Based on their performance over the past few years, you will be able to take the right decision to invest in ULIPs.

ULIP
Table By- moneycontrol.com

Conclusion

An investor should always keep investment and insurance separate.

Many investors opt for ULIP or traditional insurance to get both insurance and investment together.

But by taking such a plan, you only get less insurance in comparison to your invested capital.

Through term insurance, you can get a protection cover of one crore in very less money.

Similarly, for investment, you can get good returns in the long run by investing in mutual funds etc.

Dr. About Bhimrao Ambedkar today the whole of India is the creator of the Indian Constitution, was a great social reformer and a great leader. Dr. Bhimrao Ambedkar Dr. BR Ambedkar was the first Law Minister of independent India and the builder of the Republic of India.

Dr. Bhimrao Ambedkar ji has made many struggles in his life to provide equal opportunities to the downtrodden class Dr. Ambedkar’s inspirational thoughts inspired many youth and following his ideals and ideas, the lives of many youths changed.

Basically in this blog we are Dr. We are going to know about some important quotes of Bhimrao Ambedkar ji which can inspire you a lot.

Priceless Thoughts of Bhimrao Ambedkar Dr. BR Ambedkar Quotes in Hindi

I like the religion that teaches liberty, equality and fraternity.

Dr. Ambedkar

I measure the progress of a community by the degree to which women in that community have achieved.

Dr. Ambedkar

Those who can never make history forget their history.

Dr. Ambedkar

Religion is for man and not man for religion.

Dr. Ambedkar

The development of intelligence should be the ultimate goal of human existence.

Dr. Ambedkar

Education is the milk of a lioness and if you drink it, roaring will come.

It is better to follow the path shown by me than to do a car in my name.

Dr. Ambedkar

Don’t live to look good, live to be good.

Dr. Ambedkar

Dr. B R Ambedkar Slogan

He who can bow down can also bow down.

Dr. Ambedkar

Get educated stay organized and fight.

Dr. Ambedkar

Those who can never make history forget their history.

Depression is the most dangerous disease that can affect the lives of people.

Dr. Ambedkar

The religion which by birth declares one superior and the other inferior is not a religion but a conspiracy to keep it a slave.

Dr. Ambedkar

A great man differs from an eminent man in such a way that he is ready to become a servant of the society.

Dr. Ambedkar

Dr. Ambedkar’s priceless thoughts 

The religion which by birth declares one superior and the other inferior is not a religion but a conspiracy to keep it a slave.

Education is the milk of a lioness and if you drink it, the roar will come.

Dr. Ambedkar

Circumstances are never the problem, the problem is when we don’t know how to deal with the situation.

Dr. Ambedkar

No one can stop my country from becoming a superpower on the day the long queues of people going to the temple move towards the library.

Dr. Ambedkar

Life should be big and great instead of being long.

Dr. Ambedkar

It is better to walk on the path shown by me than to shout at me.

Dr. Ambedkar

Inspirational thoughts of Dr. Ambedkar Bhimrao Ambedkar Motivational Quotes

The biggest punishment for not participating in politics is that an unqualified person starts ruling you.

Dr. Ambedkar

The biggest punishment for not participating in politics is that an unqualified person starts ruling you.

Unless you achieve social freedom, whatever freedom the law gives you is meaningless.

Dr. Ambedkar

Constitution is not just a document of lawyers but it is a medium of life.

Dr. Ambedkar

Just as a plant needs water, in the same way an idea also needs propagation or else both wither and die.

Dr. Ambedkar

We are Indians first and last.

Dr. Ambedkar

Ambedkar Quotes

Those who suffer injustice are more guilty than those who do injustice.

Dr. Ambedkar

A secure army is better than a secure frontier.

Dr. Ambedkar

For a successful revolution, it is not enough just to have discontent, it also requires a deep faith in justice and political and social rights.

Dr. Ambedkar

In this article, we will learn about market cap, how many TOS are market cap and also know about their important concepts which will be very helpful for you.

Large Cap Mid Cap Small Cap

There are two stock exchanges operating in India; In which more than 1600 companies are listed in National Stock Exchange NSE and more than 5000 companies are listed in Bombay Stock Exchange BSE.

In order to invest in equity funds and to maintain uniformity in investment, SEBI has divided it into three parts on the basis of market capitalization of the company. These are large cap, mid cap and small cap.

AMFI (Association of Mutual Funds in India) lists such stocks which are used for investing in mutual funds.

AMFI updates this list twice a year (in January and December) on the basis of full market capitalization of companies. The update of the list means that in the next list, a large cap may become a mid cap or a small cap may also become a mid cap.

How is Large Cap Mid Cap and Small Cap Determined?

To understand this, we need to understand about market capitalization. Any company that is listed on the stock exchange; It has a share price, and its total outstanding shares.

We can calculate the total market capitalization of a company as follows-

Total Market Capitalization = 1 Share Value x Total Outstanding Shares

In this way we can say that if one wants to buy a company, then he has to spend money equal to the total market capitalization of that company.

Type of Market Cap

The Securities Exchange Board of India (SEBI) issued a circular on 6 October 2017. Accordingly, SEBI has prescribed three types of caps for all mutual fund schemes.

What is Large Cap

According to the total market capitalization, a company numbered from 1 to 100 is called large cap. Nifty 100 Index The names of these companies can be seen in

Usually the market cap of such companies is more than 10000 crores.

These 100 large cap companies hold 75% of all companies. This means that the beginning 100 large cap companies are really very big companies.

This company is already very big and is at the peak of its growth. In such a situation, it may take a long time for their expansion to double or they are less likely to expand much. Hence their returns are also moderate.

The money invested in it is quite safe; Along with this, the investment risk in them is also low.

Even when the market falls, their stocks fall less, because they are very big companies. Large caps maintain liquidity due to ample number of buyers and sellers. These are less affected by the volatility of the stock market.

Large cap companies are also called blue chip. If we talk about Blue Chip, it means, company listed on NSE from 1 to 100 is Blue Chip.

example of large cap company

  • Ambuja Cement
  • Ashok Leyland
  • Asian Paints
  • Aurobindo Pharma
  • avenue supermart
  • reliance
  • TCS
  • Infosys
  • ICICI
  • L&T etc.

What is Mid Cap

nifty 150 mid cap index In the next 150 company names can be seen. This means that in the national stock market, a company numbered 101 to 250 is called a mid cap.

The total market capitalization of midcap is 13.5%. It is the midcap companies that later become large caps. Thus, with more growth opportunities, it has the potential to yield higher returns than large caps.

If the market goes down, then mid cap stocks also go down fast. Therefore, the risk is also higher in comparison to large caps.

If we talk about liquidity and market volatility, then it is less than small cap and more than large cap.

examples of mid cap company

  • ADANIPOWER
  • ALKEM
  • ASTRAL
  • ESCORTS
  • GLAXO
  • GLENMARK
  • GODREJIND
  • Apollo Tires, etc.

What is Small Cap

All companies on the National Stock Exchange from number 251 onwards are called small cap.

to small cap companies nifty 250 index can be seen in. This nseindia.com can be seen on.

The total market share of small caps is around 7%. The return potential is highest for small caps only. Also, the risk or risk is also highest in this.

These stocks are most affected when the market falls. There is also a decline of 25 to 30% in small caps, and the same share price increases in 1 day.

Due to low interest of financial institutions and lack of buyers, there is less liquidity in it.

The fluctuations in the value of their shares are found to be very high. Small cap can become mid cap; And mid cap can become large cap; Or it could be the opposite.

example of small cap company

  • CDSL
  • BIOCON
  • CRISIL
  • CENTURYPLY
  • FORTIS
  • IDFC
  • JKTYRE
  • PVR
  • Radico
  • Bombay Dyeing, etc.

(Note- The list of companies is subject to change and is updated from time to time)

With the development of the country, diseases have also increased a lot as we know, but to give you some relief, the government also gives you some options, basically we are going to talk about health insurance in today’s time. Know about and many people are also taking advantage of it, so if your planning is also to take health insurance then this blog is for you.

Basically in this blog we will know about some things related to health insurance whether you should take health insurance or not, if you should take it then why should you take it etc.

What is health insurance

A health insurance policy is financial protection; Which helps keep you and your family safe from the risk of a medical emergency.

When you are unwell, your health policy takes care of all your treatment concerns; so that you can be worry free.

Health Insurance how many types

#1 accident cover

This protection cover is available in case of serious injury or disability in an accident.

In this a lump sum amount is available which is useful to you at the time of accident.

This insurance is available at very low cost; There is also an option to get monthly or lump sum amount.

#2 critical illness cover

It includes about 25 serious diseases like cancer, tumor, heart attack etc.

If you have taken a critical illness cover of Rs.25 lakh; So the company will pay the full 2500000 and you can spend it according to you.

#3 mediclaim policy

This is a holistic health policy; In which hospitalization expenses for more than 1 day hospitalization and the cost of medicines after that are also included.

This includes all the expenses of medicines, hospital and doctor.

Health Insurance Plan why should you take

If there is life then there is a world, health is a thousand blessings, or a healthy mind is made in a healthy body; All these things simply mean that our health is our greatest asset.

Only if we remain healthy will we be able to meet all future economic or social needs.

Our savings will be of use to us only if our health is good; Otherwise all our investment may be exhausted in a few days.

Therefore, before all investments, we must take a good health insurance plan.

Health Insurance how much should cover

It depends on a lot of reasons; Like how old are you; What is your family’s illness record?

What is the nature of your work? As if your job is not associated with any danger.

What is your income and what is your standard of living.

A normal person should take a health policy of ₹ 500000 on taking the policy personally.

Same if we talk about family plan; So for a family with two adults and two children, it is recommended to take a plan from ₹5 to ₹10 lakh.

Apart from this, you can take health insurance for about 50% of your annual income.

If you have parents etc. senior citizens in your family; So in such a situation a separate plan should be taken for them.

Adding these along with the family plan increases the premium for the entire family; Because the insurance risk of senior citizens is high.

Benefits of health insurance (Health Insurance)

1: Saves your savings in case of emergency

It helps you in case of any medical emergency with you or your family.

Nowadays hospital expenses have become quite expensive; In such a situation, health insurance does not allow your savings to end.

2: Cashless Treatment

Most of the companies get cashless treatment due to tie-up with the hospital; And there is no need to wander here and there for cash money.

3 : Availability of top up plan

You can increase the sum insured of your policy for less money by taking a top-up plan of health insurance offered by your company; Which can cover the expenses on critical illness etc., if required.

4: Lower premium at a young age

One of the benefits of getting health insurance at a young age is that the premiums are low; Along with this, more diseases are covered in it.

As one gets older; The risk of diseases increases; Along with this the premium also increases.

5: Benefit of Income Tax Rebate

Health Insurance On taking it, tax exemption of ₹ 25000 is available under section 80D of Income Tax; This exemption is available on opting for the old slab of income tax.

6 : Other facilities

Nowadays, many facilities are being offered in health insurance; such as maternity charges, day-care charges or viral diseases that do not require the patient to be admitted; Such diseases are also covered in it.

Correct Health Insurance Policy how to select

1» Family plan or individual plan

First of all, decide what is your requirement.

You can opt for a policy for a single member of the household or for the entire family.

2» Must Check Claim Settlement Ratio

While taking health insurance, you must check the claim settlement ratio of that company, which company has settled what percentage of the claim so far.

Generally, companies with a claim settlement ratio of more than 85% are considered good.

3» tie up with local hospital

Health Insurance Company Whether the company has a tie-up with a local hospital; This must be checked; So that you can get immediate help in case of emergency.

4» cashless treatment

While taking the policy also check with which company the facility of cashless treatment is available in the hospital near you; So that you can get help immediately.

5» Pre and post hospitalization expenses also included

Pre and post hospitalization means that; How many days before and for how many days after hospitalization is being covered in the policy.

A good policy is one which covers the expenses of 30 days prior to the hospitalization of the patient; and covers the cost of medicines and tests, etc., from 90 to 180 days after discharge from the hospital.

6» How much is the No Claim Bonus giving

Many health insurance companies offer a certain amount of bonus as a no claim bonus.

This offer can be in the form of full body checkup or any other free diagnostic.

The insurance company can also increase your insurance cover as a no claim bonus. Therefore, before taking insurance, make sure to also know about the no claim bonus.

7» Co-pay not an option

Make sure to check whether your health insurance policy covers the cost of private beds etc.

Some companies offer Co-Pay option; This means that out of the expenses of private wards etc., 10 or 20% will have to be borne by the insured.

These types of expenses can be difficult for you; or break your budget; Therefore, avoid taking a health insurance policy with such a condition.

8» day care facility

There are many diseases or surgeries etc. which do not require hospitalization.

In such a situation, health insurance companies refuse to come in payment.

So make sure that the facility of day care must be included in the policy.

Your health insurance premium should be affordable; Also check whether your policy covers cosmetic problems in its plan.

The health insurance policy should also have flexibility; Also, ambulance charges etc. should also be included in the policy.

Major companies selling health insurance policies

  • LIC Health Insurance
  • SBI Health Insurance
  • United India Health Insurance
  • National Health Insurance
  • HDFC ERGO Health Insurance
  • Care Health Insurance
  • Bharat Aksa Health Insurance
  • Bajaj Allianz Health Insurance
  • Aditya Birla Health Insurance
  • IFFCO Tokyo

Health Insurance Policy where to buy

At present, health policies are available at wholesale rates in the market; But it should be taken only after selecting a good policy.

Make sure to compare more than one policy available in the market to choose the best policy.

policybazaar.com You can compare plans of more than 25 companies available in the market to choose the best policy for yourself.

Apart from this, the policy provider mentioned above can also take online policy by logging in directly to the company’s website.

If you don’t find yourself comfortable online; So you can also buy it through an agent by visiting the nearest health insurance company’s office.

You need to know the names of all the mutual funds, but only if you are trying to fully understand the mutual funds. Or if you are determined to invest, you also need to understand a lot of words or facts related to mutual funds. At that time, we had to search the Internet for the conditions of mutual funds, which wasted a lot of time.

Today in this article I will try to tell you the terms used in mutual funds and their broad meaning in simple language so that everyone knows all the facts about mutual funds before investing. With this you will be able to make the right decision for your investments.

So let us know the frequently used words in mutual funds and their broad meanings in simple words-

Asset Management Company (AMC)

Asset management companies under Mutual Funds are colloquially called money managers or money management firms. These are also called fund houses.

A company or financial institution that operates publicly to invest in mutual funds or exchange-traded funds (ETFs) is known as an investment company or mutual fund companies. Every Asset Management Company is registered with SEBI.

Automatic Investment Plan

It is a method of investing, in which investors have the facility to make their own strategy to invest at a fixed interval. In this, the money set by you is automatically deducted from your bank account on time. Automatic investment plans are a good way to save money.

Blue Chip Fund

Such companies whose size is very large, and which are very strong financially are called blue chip companies, and the mutual funds which invest in such blue chip companies are called bluechip funds.

SBI Bluechip Fund, Axis Bluechip Fund etc. are examples of this, yet it is important to mention that, according to SEBI, there is no separate category of blue chip fund, rather many large cap funds are named as bluechip funds.

Benchmark

A benchmark is a measure of the performance of a mutual fund. For example Nifty 50 is a benchmark to measure many large cap funds and index funds. If the return of the fund is more than the benchmark, it means that your mutual fund has performed well.

Bid Price and Sell or Ask Price

The buy price of a share is called the bid price and the price decided to sell it is called the sell or ask price. Brokers or jobbers do this work in the stock market.

When an investor offers to sell shares to a broker, he gives you a bid or a bid price to buy the shares. Similarly, to buy the same share, along with his profit, he also determines its sell or ask price.

Corpus

Corpus is the total accumulated capital of a person in mutual funds and the total money that will be collected by investing in mutual funds in the future.

In the financial context, the term corpus is used as a collection of funds.

Closed Ended Scheme

Mutual funds in which investment limits are pre-fixed. After that time frame, such Mutual Funds are closed for direct investment.

Under the close ended scheme, money is collected from the investors through NFO (New Fund Offer). As soon as all the units of that mutual fund are bought by the investors, that mutual fund is closed for the direct investment of a new investor.

Certificate of Deposit

Certificate of Deposit is a certificate purchased through a commercial institution or bank. It is a savings certificate with a fixed maturity period and a fixed rate of interest.

It is issued in different denominations with minimum investment. There is a restriction on withdrawing money till maturity on investing in it. The minimum period for this is 1 year and maximum is 3 years.

Debentures

A debenture is a type of debenture. Companies issue debentures to raise money needed for their business.

When a company does not want to issue shares, it takes a loan from a bank or issues debentures. By issuing debentures, she borrows money from investors for a few years. In return for this borrowing, it pays fixed interest to the investor as return.

Distributor

The person who usually does the work of selling mutual funds to the people is called mutual fund agent or distributor. By becoming a mutual fund distributor, any person can create a separate source of his income.

Dividend

Dividend simply means dividend or a portion of profit.

Dividend or dividend is that which companies give some part of their net profits as profit to their shareholders. Dividend is an additional benefit to the shareholders. For this there is no need to sell the shares of that company.

Entry Load

When an investor invests in a scheme of Mutual Fund or redeems the investment, then the mutual fund company takes some charge from him, this fee is simply called the entry load.

That is, when an investor invests money in a scheme, the charge at that time is called entry load. It is charged for expenses incurred on distribution etc. of a company.

Different mutual fund houses charge different fees as entry load. However, it is pertinent to mention that since August 2009, SEBI has abolished the system of entry load on investments in mutual funds.

Exit Load

If an investor redeems his investment of Mutual Fund, then the charge levied on him at that time is called exit load.

The purpose behind taking exit load is that the investor should not withdraw money from any scheme without urgent work. In fact, the purpose behind levying exit load is that the investor keeps investing in mutual funds for a long period of time so that he can get good returns.

While an exit load is levied at the time you receive payment for your investment from the mutual fund, an exit load may or may not be charged to you whenever you decide to sell the units of your mutual fund. Too. The exit load is calculated as a percentage of the money redeemed.

Expense Ratio

Many types of expenses of Mutual Fund House or Asset Management Company are called Expense Ratio.

Expense Ratio lets us know exactly how much the mutual fund management is charging you for your investment portfolio.

Expense ratio is a ratio that shows the expenses incurred on managing a mutual fund in terms of per unit. This means expense ratio is the annual fee paid by investors to a mutual fund house or asset management company for managing a scheme.

Fund Manager

Fund manager plays a very important role in any mutual fund industry. He is the main face of any mutual fund house.

An investor invests his hard earned money in a fund only on the credit of the fund manager. It is the responsibility of the fund manager to invest money in the mutual fund scheme.

The fund manager keeps an eye on the market and economy trends before investing. The fund manager decides the direction of the portfolio of any investment. An investor invests only by looking at the benchmark of the fund manager.

The truth is that the fund manager contributes the most to the performance of a scheme.

Growth Plan

There are two investment options available in any mutual fund scheme. There is a growth plan, and the other is a dividend plan.

In the growth plan, the investor does not get any dividend or dividend. If you want some money from your investment then you have to redeem some of your units.

You also have to pay capital gains tax on the profit earned on selling the units. Your money stays invested in the growth plan and gets better compounded returns.

If you are investing in equity funds, then you should invest in growth plans only.

Hedge Fund

A hedge fund is a hedging risk. This means that when you invest at zero risk, then such an investment can be called a hedge fund. Hedge funds can take exposure to anything at any time. In hedge funds, you can get good returns even in a short period of time.

Invest in hedge funds with borrowed money. Hedge funds are short sell ie they sell short.

Index Fund

Index funds are a category of natural funds. As the name suggests, such funds invest in the shares of a company included in an index of the stock market. This means the performance of such mutual funds is similar to the index they track.

Index funds are also known as index tide or index tracked mutual funds. Such funds invest in the shares of a company included in an index fund of the stock market like Nifty 50 etc. If the index performs well, then that fund also has the potential to deliver good returns.

Jobbers

Such people working in the stock market are called jobbers who are ready to buy and sell shares anytime.

A jobber is a member of a stock exchange, ready to buy and sell shares at all times. Because of this characteristic they are called jobbers.

Lock-in-Period

Such a scheme of Mutual Fund in which the investor cannot withdraw the deposited amount for a certain period. Such period is called lock-in period.

In Equity Linked Savings Schemes (ELSS) in Mutual Funds, an investor cannot redeem his fund for 3 years from the date of investment. This means that the lock-in period of this fund is 3 years.

Lump sum

When the accumulated money is invested in a mutual fund in one go, then it is called lump sum investment.

Due to a sharp fall in the stock market due to any reason, the price of the share and NAV goes down. In such a situation, you can buy as many units as possible by investing in equity or debt funds through lump-sum. You can earn good profit by selling it when the market rises.

Money Market fund

Money market funds are also called liquid funds. These are called short term investments. In these, you can also withdraw all your money in case of emergency.

It is an open-ended plan, which invests your capital in liquid instruments like commercial paper or certificate of deposit etc.

Mutual Fund

In mutual funds, the money of many investors is deposited in one place and then this fund is invested in the market.

Mutual Funds are managed by an Asset Management Company (AMC). Every mutual fund house has different types of mutual fund schemes.

It is also considered as an investment option in the stock market. This means that for those people who do not have very good knowledge about investing in the stock market, in such a situation, Mutual Funds are a good investment option for those people.

Net Asset Value (NAV)

NAV or Net Asset Value is the price at which you buy a single unit in a mutual fund scheme.

Mutual funds are divided into small parts so that even a small investor can invest in it. Each divided part is called a unit, and the cost of that one unit is called the NAV or Net Asset Value.

It can be understood with an example, like one unit of a fund is priced at ₹50 and an investor wants to invest ₹1000, he/she will get 20 units at an NAV of ₹50.

Open Ended Scheme

As its name suggests, this open ended scheme is just like its name. This means that the investor can invest in it at any time and can also exit from it at will.

However, investors have to pay some charge as exit load if they redeem before a certain time period like 1 year for long-term holding. This charge is usually around 1%.

Portfolio

Portfolio is such a list, which keeps an account of how much you have invested in different places, and how much return you are getting on it.

In simple language we can say that in a portfolio we can see all our investments at one place.

To reduce your investment risk, you should have a diversified portfolio. Portfolio can be of an individual or of a company.

Redeem or Redemption

The process under which an investor wants to get his money back from that scheme by selling the units of his mutual fund, then that process of selling the mutual fund is called redemption or redemption.

Sector Fund

Sector funds are a type of mutual fund. It invests in securities of specific sectors. Such as banking, telecom, pharmaceuticals, information technology and infrastructure etc.

This means that the money invested in sector funds is restricted to specific industries or sectors only.

Stock Fund

Such mutual funds which invest mainly in stocks are called stock funds. Equity fund is also another name of stock fund.

Stock Mutual Funds are broadly divided by companies based on their size, portfolio and investment nature of the holding.

Switch or Switching

When an investor withdraws his investment in Mutual Fund from one fund and invests in another fund, then this process is called switching.

Investors can switch their investments to another fund only from an open ended scheme.

Systematic Invest plan (SIP)

Systematic Investment Plan (SIP) or SIP disciplines your Mutual Fund investments. In this, instead of investing the entire money at once, the investor keeps investing a fixed amount every month or at a fixed interval.

SIP gives you the opportunity to put a certain amount of money in your mutual fund scheme every month. SIP continues your investment regularly even when the stock market is up or down.

There is no need to choose a tenure to invest through SIP for a long time. You can turn it off anytime as per your convenience.

Through Systematic Investment Plan, you can start investing in Mutual Funds with a minimum of Rs 500.

Systematic Transfer plan (STP)

Systematic Transfer Plan is a scheme of Mutual Fund, where a pooled amount is invested in a particular scheme. Out of that certain amount is transferred to another scheme at pre-determined time intervals. In this, investments can be made from one fund to another depending on the volatility of the market. The risk of market stability can be avoided with STP.

Systematic Withdrawal Plan (SWP)

On starting the Systematic Withdrawal Plan, every month the units of the fixed amount are sold by you from your mutual fund investment, and the money gets deposited in your bank account.

Systematic Withdrawal Plan is the exact opposite of SIP or SIP.

Treasury Bills

Treasury Bills or T. Bills are known as investment options. Governments issue Treasury Bills with the help of Reserve Bank of India.

We can understand it in this way that when we need money, then we take loan from the bank, and in return pay interest to the bank.

Similarly, when the government needs money for less than 1 year, it collects money from investors through treasury bills, and in return pays interest to investors in proportion to their capital.

Venture Capital Fund

This is also a type of fund, in which money is invested by looking at the success potential of start-ups and new industries. Sometimes the money invested in it gives unexpected returns and sometimes the money may get sunk.

New companies or ventures, which have just been started, are a popular way to raise money in venture capital at such an early stage.

People who invest money in this type of company are called Venture Capitalists.

Investing in gold is considered a very good investment, if you buy physical gold, then you need some minimum investment for it, which is not possible for everyone.

Basically in this blog we are going to talk about how you can buy and sell digital gold or how to invest

At the same time we will also know that comparatively in all these Gold Investment What is the best option?

Best to invest in gold 5 ways

in today’s time Gold Investment There are many options available in

Buying jewelery or physical gold from a local shopkeeper

Investing through ETFs

investing through mutual funds

as Digital Gold, or

Investing can be done by buying Sovereign Gold Bonds.

There are some advantages of investing in gold in these ways, while there are also some disadvantages, we will also know them in detail.

So let’s go one by one to know all those ways how one can invest in gold? What are the advantages and disadvantages of investing in it? And what can be the best option to invest in gold?

Gold is one of the most precious metals in the world. Gold is considered one of the most popular long term investment options.

Buy physical gold

Your choice of buying physical gold such as gold coins, biscuits or jewelery is your local jewelers that you trust.

Here you can invest in gold by paying in cash.

This is one of the traditional ways of investing in gold. Buying gold jewelery should not be taken as an investment; Because we buy it for our consumption.

In this, there is a significant reduction in the name of design and making charges etc.

There is a problem with its storage,

There is a possibility of it being stolen or missing when kept at home; And there is a locker charge for keeping it in the bank.

There is a problem of purity on its purchase whether the gold is pure or not. There is a risk of adulteration in this.

There is no extra income by keeping it with you.

Buying Gold Coin or Gold Bar

Gold bullion which is found in the form of coins or bars. It is available in 24 carat only.

There is no problem of impurity in it.

It is a better option than jewelry as it is of 24 carats.

There is also a problem of security if it is kept in the house and there is a charge for keeping it in the bank locker.

You can take a loan on less than 50 grams of Gold Coin in the form of coins, but the loan cannot be taken by mortgage of gold biscuits or bars.

The option is now available to buy gold as digital gold.

Investing in Gold as Digital Gold

There are many digital wallet apps available nowadays like GooglePay, PhonePe Paytm, Freecharge etc.

Digital Gold can be purchased through them.

Apart from this, you can also buy gold in digital form from the National Spot Exchange.

In this, you can invest by buying gold for a minimum of one rupee. The money you invest buys gold in three companies.

These companies are MMTC-PAMP, in which MMTC is a government organization and MKS PAMP is a Swiss firm, which work jointly.

Another company Digital gold India Pvt. Ltd. is the SafeGold brand, and the third company is named Augmont Gold Ltd. Is.

These are all gold refinery and melting companies.

There is no limit to buy digital gold on most of the platforms.

You can buy as much gold as you want according to your capacity. Hence, it has good liquidity.

You can also take home delivery of minimum 0.5 to 1 gram by buying Digital Gold.

In this you can keep your investment for 5 years.

After this you will have to take delivery of the gold or sell it at that time rate.

In this, the charge of gold storage is zero or very less.

You can invest up to ₹ 50000 on platforms like Paytm and Google Pay.

More than this, you will be able to invest only after e-KYC.

A minimum of ₹100 can be invested in a stock holding co-operation, but it cannot be invested without KYC from the beginning.

Investing in Gold through ETFs or Exchange Traded Funds

Gold ETFs are traded by being listed on the stock exchange.

If you want complete information about ETFs What is ETF then you can read this

You will need a demat account to invest in ETFs.

You Zerodha Or by opening an online account sitting at home from any other platform etf gold You can start investing in

With the growth of the market, you can get good returns.

Gold ETFs follow the Gold Index and invest money in it.

Some ETFs invest in gold mining companies as well as in debt securities to balance the risk. ETF is a good investment yet it is still not popular in a country like India.

Investing in Gold Funds of Mutual Funds

Gold Mutual Fund also known as Gold Fund of Funds.

These are open ended funds that invest in different gold ETFs.

Investors who do not have technical knowledge of the market can also invest in gold through mutual funds. There is no need for a Demat account for this.

Examples of mutual funds gold


gold mutual fund list

Investing in Gold by Buying Sovereign Gold Bonds

The Government of India on 5 November 2015 launched a gold monetization scheme called Sovereign Gold Bond.

The Sovereign Gold Bond is issued by the Reserve Bank of India. They are quite safe.

In this, the money invested by you earns interest at the rate of 2.5% per annum.

At the end of the bond’s tenure of 5 years, you get paid according to the market rate at that time.

It is also traded in the exchange market.

Loan can also be taken by mortgaging the Sovereign Gold Bond.

RBI issues this bond three to four times a year.

You can take it through a bank, post office or stock holding corporation. If available in the stock market, it can also be bought from there.

Comparative status of investing in gold

physical gold digital gold Gold ETF gold mutual fund sovereign gold bond
GST 3% 3%
expense ratio 0.5-1% 0.5-1.5%
exit load 1-2%
SIP Yes No Yes No
liquidity Good Good medium Good medium
minimum investment 0.5-1 gram ₹1 1 gram ₹500 1 gram