Gold Funds & Gold ETFs: Should You Add Gold to Your Portfolio?

Gold funds and gold ETFs let you invest in gold in paper form — no lockers, no purity worries, and you can buy small amounts via SIP.

Why hold gold - Diversifier: gold often rises when equities fall, smoothing your portfolio. - Inflation hedge: historically holds value over the very long term. - Crisis insurance: tends to do well in times of fear.

Why not go overboard Gold produces no income (no dividends or interest) and can go years without gains. It's a hedge, not a growth engine.

How much? A common guideline is 5–15% of your portfolio in gold — enough to diversify, not so much that it drags long-term returns.

Gold fund vs gold ETF - Gold ETF: trades on the exchange; needs a demat account. - Gold fund (FoF): invests in a gold ETF; buy it like any mutual fund, SIP-friendly, no demat needed.

You can add a gold sleeve directly in our Portfolio Planner when building a custom allocation.