Gold ETFs Outperform Equities in January: Smartest Investment Options Explored

• Gold and silver ETFs saw combined inflows exceeding Rs 33,500 crore in January, surpassing equity fund inflows of Rs 24,029 crore, indicating a shift in investor sentiment towards safe-haven assets.
• The article explores various ways to invest in gold and silver: ETFs, Digital Gold/Silver, Sovereign Gold Bonds (SGBs), and Physical Gold/Silver.
• Gold and silver ETFs offer regulated, market-linked exposure via demat accounts, tracking domestic metal prices without storage or purity concerns, best for market-comfortable investors.
• Digital gold and silver provide beneficial ownership of 999-purity metals in insured vaults with instant liquidity and transparent pricing, suitable for short- to medium-term goals, but are unregulated.
• Sovereign Gold Bonds (SGBs) offer sovereign backing, interest income, and capital gains tax exemption if held to maturity, making them tax-efficient for long-term investors despite liquidity drawbacks.