Top SGB vs Top Gold ETF vs Top Silver ETF: How Rs 10 lakh investment in precious metals has fared so far
Top SGB vs Top Gold ETF vs Top Silver ETF: Sovereign Gold Bonds (SGBs) are government securities, substitutes for holding physical gold, denominated in grammes of gold. Gold ETFs are exchange-traded funds that track the domestic physical gold. Silver ETFs track the performance of physical silver.
Top SGB vs Top Gold ETF vs Top Silver ETF: Sovereign Gold Bonds (SGBs) are government securities, substitutes for holding physical gold, denominated in grammes of gold. SGBs are issued by the Reserve Bank of India (RBI). They provide 2.50 per cent interest per annum and have a maturity period of 8 years. The minimum investment in SGBs is one gramme with a maximum limit of subscription of 4 kg for individuals, 4 kg for Hindu Undivided Family (HUF), and 20 kg for trusts and similar entities. On completion of 5 years from the date of issuance, SGBs are opened for secondary markets, where they can be traded like stocks.
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Best SGB in terms of performance
In terms of the performances of all SGBs available as on September 2, 2024, Sovereign Gold Bond Scheme 2017-18 – Series XIV 2.50% is the top performer with 165.20 per cent annualised returns since its launch on January 1, 2018.
Best SGB in terms of performance
The SGB scheme will mature on January 1, 2026. When it was launched, the SGB's issue price was Rs 2,866.00. It was trading at Rs 7,599.99 as on September 2, 2024. The coupon rate is 2.50 per cent and the coupon frequency is half yearly. With a yield of 0.94 per cent, the SGB indicative price on maturity is Rs 8,306.
What are gold ETFs?
Golf ETFs are exchange-traded funds that track the domestic physical gold. They represent physical gold, which may be in paper or dematerialised form. One Gold ETF unit is equal to 1 gramme of gold. It is backed by physical gold of very high purity.
Best gold ETF since January 1, 2018
If we compare its performance with top SGB and take January 1, 2018, as the reference point, the top gold ETF from that date is Axis Gold ETF. It has given 13.83 per cent annualised return ever since.
Best gold ETF since January 1, 2018
The ETF has assets under management (AUM) of Rs 500 crore, while its net asset value (NAV) is Rs 23.1534. At an expense ratio of 0.17 per cent, the fund has given 6.25 per cent annualised return since its launch in January 2013. The fund tracks the price of gold.
What are silver ETFs?
Silver ETFs are the same as gold ETFs, but they track the performance of physical silver. A silver ETF must invest at least 95 per cent of its net assets in silver and securities related to silver, as per Securities Exchange Board of India.
Best silver ETF since launch
The silver ETF scheme was launched in November 2021, and the data for the same is available from February 2022. From then till now, ABSL silver ETF tops the category with 11.74 per cent annualised returns.
Best silver ETF since launch
The silver ETF has an asset base of Rs 382 crore, while its NAV is Rs 84.1699. The ETF that tracks the domestic price of silver has given 12.18 per cent annualised returns (CAGR) since its launch in January 2022.
Top SGB vs top gold ETF vs top silver ETF: Know current value of Rs 10 lakh investment in each scheme
In Sovereign Gold Bond Scheme 2017-18 – Series XIV 2.50%, a Rs 10 lakh investment since its launch on January 1, 2018, has grown to Rs 26,51,700.
Top SGB vs top gold ETF vs top silver ETF: Know current value of Rs 10 lakh investment in each scheme
Axis Gold ETF has turned a Rs 10 lakh investment into Rs 23,69,466 since January 1, 2018.
Top SGB vs top gold ETF vs top silver ETF: Know current value of Rs 10 lakh investment in each scheme
Since its launch in January 2022, a Rs 10 lakh investment in the ETF has grown to Rs 13,45,300.