New Delhi, Nov 6: So you're sitting on a good deal of disposable income and want some high returns on your investments. All you need is to design a strategy that will keep your risk level to a minimum while ensuring that you don't miss out on the rate of returns. Here are a few investment options to harvest more money.
1. Gold ETFs
From 2002, gold prices have gained nearly 500 per cent till this period. Recent trends indicate the growing interest among the investing community in gold exchange traded funds (ETFs) as it has emerged as a good alternative to owning physical gold or buying gold futures. Gold ETFs are most cost efficient as you don't have to pay 6-10 per cent mark up on gold coins that you'd usually pay to banks. Instead you only need to pay brokerage of 0.5 per cent. It is tax efficient too as there is no long term capital gains tax after one year and also there is no wealth tax involved with ETFs. According to experts, gold ETFs provide an exciting way to participate in gold without having to be exposed to the risks of physically purchasing bullion or gaining a practical understanding on how gold futures operate. Some of the options available in the market include: Kotak gold ETF, UTIgold ETF, HDFC gold ETF and Reliance gold ETF. According to World Gold Council, the investment demand for gold under Exchange Traded Funds continues to be very strong and in future, the total tonnes of gold investments made under ETF (in India) may double.