SBIMF Gold Fund

Introducing SBI Gold Fund

SBI Gold Fund is an open ended Fund of Fund (FOF) scheme that invests predominantly in the units of SBI Gold Exchange Traded Scheme (SBI GETS). The scheme seeks to provide returns that closely correspond to returns provided by SBI Gold Exchange Traded Scheme (SBI GETS). You can invest in SBI Gold Fund just like any other mutual fund scheme without the hassles of opening a demat account, providing you an opportunity to take exposure into Gold as an asset class, in a convenient way.

SBI Gold Fund Benefits

No need to hold or open a DEMAT account: SBI Gold fund provides an opportunity for the investor, to take exposure into Gold as an asset class, in smaller and convenient investment amount without having a demat account.

Systematic Investment Plan (SIP): It is a long term disciplined investment technique which provides a systematic way of investing in Gold. This allows you to save and invest regularly without 'timing the markets'.

Liquidity: An investor can subscribe and redeem gold fund on all business days.

Cost Effective: Investing in gold through the SBI Gold Fund in physical application mode enables you to invest in a low cost manner as the investor does not have to incur expenses like annual maintenance charges for demat account , delivery /brokerages charges or transaction charges incurred for investing through the dematerialized mode. However, investors will be bearing the recurring expenses of the scheme, in addition to the expenses of the underlying Scheme.>

Tax Benefits: SBI Gold Fund is treated as a non equity product from tax perspective. It enables an investor to claim long term capital gains tax after a period of one year of investments, whereas for physical gold long term taxation is available after 3 years.

Convenience of investing: Investing in gold through SBI Gold Fund is easy - investors can directly subscribe units through at the various designated investor service centre across the country thereby making it easily accessible and convenient.

Assured Purity & Security: SBI Gold Fund would invest in units of SBI Gold Exchange Trade Scheme (SBI GETS) and all gold bullion held in SBI GETS shall be of fineness of 995 parts per 1000 and it will be held safe with the custodian.

Availability of add on facility: The fund allows investors to avail add-on facilities like systematic transfer plan, systematic investment plan and systematic withdrawal plan.

SIP in Gold

SBI Gold Fund enables you to invest in gold through Systematic Investment Plan (SIP), thus inculcating a regular savings habit to your investments. This ensures that you can reap the benefits of investing in gold through a small but regular amount. The following table shows the SIP returns in Gold for the past 10 years. It is seen that Gold has displayed a consistency in performance.