How to Buy Gold Online

Nov 23, 2021 by

The best way to invest in gold and make money | Financial Post

When looking for a safe and secured investment option, Manek was advised to invest in gold. He was convinced with the advice seeing the possibility of prices soaring in the future. But one thing that worried him was the security of the gold after you purchase it. Where to store the gold? In the Bank locker? House?

He is worried about the safety of the investment in physical gold. In addition, storing gold is not cost-effective. While he is looking for some way to deal with this problem, he found he can own digital gold without actually taking possession of the gold.

What is Digital Gold?

Digital Gold is an alternative Gold investment option. It is the most efficient and cost-effective approach to invest in gold. Digital Gold can be purchased online and stored by the vendor in insured vaults on behalf of the buyer. It helps in eliminating the issues related to authenticity, purity, safekeeping and storage. All you need is Internet/mobile banking to invest in gold digitally at any time and from any location. Furthermore, the transaction takes place at market pricing, ensuring complete transparency during the trading process.

Why Is Digital Gold Better?

Physical gold in the form of jewellery comes with an additional cost of jewellery making charges. The Gold coins and Gold bars fetch you a lesser amount every time you buy and resell. Gold as an asset in the house is idle money locked with no passive income generation capacity. Apart from these, the safety issues and storage issues tag along with investment in physical gold. Digital Gold overcomes these effectively.

How Does Digital Gold Investment Work?

You can purchase digital gold from many of the e-wallet platforms. You can also purchase through platforms of companies offering digital gold. An equivalent amount of physical gold will be placed in the vault by the company in your name.

The companies offering digital Gold in India is limited to three-

  • MMTC-PAMP India Private Limited
  • SafeGold brand of the Digital Gold India Private Limited
  • Augmont Gold Limited

How Can You Invest In Digital Gold?

That is as easy as shopping online. The process involves the following steps-

  1. Go to either of the platforms offering digital gold
  2. From there, go to ‘Gold Locker’ or the ‘Gold Vault’ section
  3. Enter the amount of investment in either grams or INR. You can purchase gold at a live market rate
  4. After completing a KYC procedure, you can choose from the different payment options available on the platform offering digital gold
  5. Once the purchase is complete, your account is updated instantly
  6. You can access your digital Gold account at any time online
  7. Whenever you buy digital gold, the custodian holds an equivalent amount of gold on your behalf
  8. Digital Gold bought by you is safely stored at the vaults
  9. You can order gold coins to be delivered to your doorstep. However, you may have to pay a shipping fee for the same
  10. Additionally, you can sell your digital gold online on the platform at any time at the prevailing market rate

Who Can Invest In Digital Gold?

  1. If you wish to invest in gold or sovereign gold bond but want to eliminate the risks associated with storage, you should invest in digital gold
  2. Digital Gold or is a good option for you if you want to make a small investment in gold from the comfort of your own home
  3. You can choose to cash out your Gold investment or redeem it for genuine Gold coins or bars

Disclaimer – ICICI Securities Ltd. ( I-Sec). Registered office of I-Sec is at ICICI Securities Ltd. – ICICI Venture House, Appasaheb Marathe Marg, Prabhadevi, Mumbai – 400 025, India, Tel No : 022 – 6807 7100. AMFI Regn. No.: ARN-0845. Mutual Fund Investments are subject to market risks, read all scheme related documents carefully. Please note, Mutual Fund, Bonds, Investment Advisory and Loans related services are not Exchange traded products and I-Sec is acting as a distributor to solicit these products. All disputes with respect to the distribution activity, would not have access to Exchange investor redressal forum or Arbitration mechanism. Investments in securities market are subject to market risks, read all the related documents carefully before investing. The contents herein above shall not be considered as an invitation or persuasion to trade or invest.  I-Sec and affiliates accept no liabilities for any loss or damage of any kind arising out of any actions taken in reliance thereon. The contents herein mentioned are solely for informational and educational purpose.

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