Sheen is back with rise in gold prices, but pay heed to cost and liquidity

After scaling a high of Rs 55,922 per 10 gram on August 7 last year, gold retreated in the second half of 2020-21. It fell as low as Rs 43,994 by March 31 this year. Since then, it has recovered lost ground and is currently trading at Rs 48,615 per 10 gram.

Investors seeking to benefit from this uptrend need to understand the pros and cons of the various investment options available to them: Bullion, gold exchange-traded funds (ETFs), sovereign gold bonds (SGBs), and digital gold.

Physical ownership

Due to their fascination with physical gold, Indians buy bars and coins as investment. If