E-Gold

Updated on September 14, 2026 , 81231 views

What is E-Gold?

E-Gold is another form of Investing in Gold where no physical gold is traded. In 2010, National Spot Exchange (NSE) launched e-gold in India in order to benefit investors who wish to invest in gold.

The biggest benefit of e-gold is that it allows investors to invest in gold with much lower denominations than physical gold. But, before going into details, let us understand the basics of Investing in gold in the electronic form.

E-Gold Investment

E-gold is the process of buying gold electronically. To invest here, one should have a Trading Account with specified NSEL dealers. E-gold units can be bought and sold through the exchange (NSE) just like shares. Here one unit of e-gold is equal to 1 gram of gold.

Investors who wish to invest in gold as part of their long-term Financial goals can buy e-gold in small quantities and keep it in their Demat account. Once their target is achieved, they can take the physical delivery of gold through the exchange. Those who don’t wish to take the physical delivery can always sell the electronic units and encash them.

By buying gold in electronic form, one need not worry about the purity of gold and the safe-keeping of gold.

Advantages of E-Gold

Gold rates on NSE are based on Indian market rates.
Investors can buy and sell gold in small denominations. For e.g.- 1gm, 2gm of gold.
Transparency in pricing and seamless trading is one of the major advantages of this product.
This product is high in liquidity. One can sell it at any point of time.
No impurity risks.

Advantages	Disadvantages
Buy/Sell gold in small denominations	Storage cost- 60 paise/per unit/pm
Seamless Trading	Hacking Issue
Liquidity	-
No impurity risks	-

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Disadvantages of E-Gold

The storage charge of this product is 60 paisa per unit per month.
Hacking of an account can sometimes be an issue, however with today's security systems in place with exchanges this does not usually take place. At a client account level, the customer should maintain the secrecy of passwords and ensure that the account is protected.

How to Invest in E-Gold?

Open a Demat Account

For purchasing commodities in NSE, it is necessary to have a Demat account. One can keep a separate Demat account for equities and commodities or keep the same one. To open an account, one can submit all the required documentation to NSE.

Trading

Once your account is opened, you can log in and buy e-gold. You can trade from 10 am to 11:30 pm on weekdays. Your gold units would get credited to your Demat account in T+2 days (date plus one day).

Physical Delivery

If you want, you can take physical delivery of gold at any time by redeeming e-gold units to your Demat account.

E-Gold- Taxes and Charges

It charges INR 100 as a conversion rate of 1 gram coin and INR 400 for conversion of 8 gram/10 gram coins. In case of 100-gram coins and one-kg bar, the exchange doesn't charge any cost.
If you hold this product for less than 36 months, then short-term capital gain tax is applicable as per the slab rates. And if e-gold is held for than 36 months, then e-Gold Capital gain tax applicable at 10 percent.
One is also required to pay VAT @ 1% throughout the country as well as octroi charges (when your purchase enters the state) to convert electronic units into physical coins.
The storage charge of this product which is held in physical form by NSE is 60 paisa per unit per month.

Invest in Gold Funds Without Demat Account

In Gold Mutual Funds you don't need a Demat account to invest. These funds invest in a Gold ETF floated by the same AMC (Asset Management Company). Investors can invest in Gold Mutual Funds through the SIP route, which is not possible when investing in the ETF or other gold investments.

Feature of Gold Funds

Minimum investment amount in gold mutual funds is of INR 1,000 (as monthly SIP)
Since gold mutual funds are not traded in the market, they can be bought/sold based on NAV for the day
As gold mutual fund’s units can be bought or sold from the fund house, investors do not face liquidity risks.

Fund Selection Methodology used to find 5 funds

Sub-category: Gold
Sorted On : drat (high to low)
No Of Funds: 5

Best Gold Funds to Invest 2026

1. Invesco India Gold Fund

To provide returns that closely corresponds to returns provided by Invesco India Gold Exchange Traded Fund.

Research Highlights for Invesco India Gold Fund

Bottom quartile AUM (₹463 Cr).
Established history (14+ yrs).
Top rated.
Risk profile: Moderately High.
5Y return: 24.75% (bottom quartile).
3Y return: 34.86% (bottom quartile).
1Y return: 34.85% (bottom quartile).
1M return: 0.15% (top quartile).
Alpha: 0.00 (top quartile).
Sharpe: 1.21 (lower mid).
Information ratio: 0.00 (top quartile).
Top bond sector: Cash Equivalent.
Largest holding Invesco India Gold ETF (~98.1%).
Top-3 holdings concentration ~100.0%.

Below is the key information for Invesco India Gold Fund

Invesco India Gold Fund Growth
Launch Date	5 Dec 11
NAV (16 Sep 26)	₹42.1505 ↑ 0.55 (1.33 %)
Net Assets (Cr)	₹463 on 31 Jul 26
Category	Gold - Gold
AMC	Invesco Asset Management (India) Private Ltd
Rating	☆☆☆
Risk	Moderately High
Expense Ratio	0.37
Sharpe Ratio	1.21
Information Ratio	0
Alpha Ratio	0
Min Investment	5,000
Min SIP Investment	500
Exit Load	0-6 Months (2%),6-12 Months (1%),12 Months and above(NIL)

Growth of 10,000 investment over the years.

Date	Value
31 Aug 21	₹10,000
31 Aug 22	₹10,679
31 Aug 23	₹12,199
31 Aug 24	₹14,719
31 Aug 25	₹20,302
31 Aug 26	₹30,196

Invesco India Gold Fund SIP Returns

Total investment amount is ₹300,000
expected amount after 5 Years is ₹556,833.
Net Profit of ₹256,833 Invest Now

Returns for Invesco India Gold Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 16 Sep 26

Duration	Returns
1 Month	0.1%
3 Month	0.6%
6 Month	-1.5%
1 Year	34.9%
3 Year	34.9%
5 Year	24.7%
10 Year
15 Year
Since launch	10.2%

Historical performance (Yearly) on absolute basis

Year	Returns
2025	69.6%
2024	18.8%
2023	14.5%
2022	12.8%
2021	-5.5%
2020	27.2%
2019	21.4%
2018	6.6%
2017	1.3%
2016	21.6%

Fund Manager information for Invesco India Gold Fund

Name	Since	Tenure
Abhisek Bahinipati	1 Nov 25	0.83 Yr.

Data below for Invesco India Gold Fund as on 31 Jul 26

Asset Allocation

Asset Class	Value
Cash	3.75%
Other	96.25%

Top Securities Holdings / Portfolio

Name	Holding	Value	Quantity
Invesco India Gold ETF - \| -	98%	₹454 Cr	36,832,080 ↑ 250,000
Triparty Repo CBLO/Reverse Repo \| -	2%	₹8 Cr
Net Receivables / (Payables) CBLO \| -	0%	₹0 Cr

2. Aditya Birla Sun Life Gold Fund

An Open ended Fund of Funds Scheme with the investment objective to provide returns that tracks returns provided by Birla Sun Life Gold ETF (BSL Gold ETF).

Research Highlights for Aditya Birla Sun Life Gold Fund

Bottom quartile AUM (₹1,665 Cr).
Established history (14+ yrs).
Rating: 3★ (upper mid).
Risk profile: Moderately High.
5Y return: 24.82% (upper mid).
3Y return: 34.98% (bottom quartile).
1Y return: 34.81% (bottom quartile).
1M return: -0.26% (bottom quartile).
Alpha: 0.00 (upper mid).
Sharpe: 1.13 (bottom quartile).
Information ratio: 0.00 (upper mid).
Top bond sector: Cash Equivalent.
Largest holding Aditya BSL Gold ETF (~100.0%).
Top-3 holdings concentration ~100.3%.

Below is the key information for Aditya Birla Sun Life Gold Fund

Aditya Birla Sun Life Gold Fund Growth
Launch Date	20 Mar 12
NAV (16 Sep 26)	₹43.6455 ↑ 0.33 (0.77 %)
Net Assets (Cr)	₹1,665 on 31 Jul 26
Category	Gold - Gold
AMC	Birla Sun Life Asset Management Co Ltd
Rating	☆☆☆
Risk	Moderately High
Expense Ratio	0.51
Sharpe Ratio	1.13
Information Ratio	0
Alpha Ratio	0
Min Investment	100
Min SIP Investment	100
Exit Load	0-365 Days (1%),365 Days and above(NIL)

Growth of 10,000 investment over the years.

Date	Value
31 Aug 21	₹10,000
31 Aug 22	₹10,619
31 Aug 23	₹12,278
31 Aug 24	₹14,660
31 Aug 25	₹20,546
31 Aug 26	₹30,645

Aditya Birla Sun Life Gold Fund SIP Returns

Total investment amount is ₹300,000
expected amount after 5 Years is ₹556,833.
Net Profit of ₹256,833 Invest Now

Returns for Aditya Birla Sun Life Gold Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 16 Sep 26

Duration	Returns
1 Month	-0.3%
3 Month	0.5%
6 Month	-2.2%
1 Year	34.8%
3 Year	35%
5 Year	24.8%
10 Year
15 Year
Since launch	10.7%

Historical performance (Yearly) on absolute basis

Year	Returns
2025	72%
2024	18.7%
2023	14.5%
2022	12.3%
2021	-5%
2020	26%
2019	21.3%
2018	6.8%
2017	1.6%
2016	11.5%

Fund Manager information for Aditya Birla Sun Life Gold Fund

Name	Since	Tenure
Mehul Dama	7 Jul 26	0.07 Yr.
Priya Sridhar	31 Dec 24	1.58 Yr.

Data below for Aditya Birla Sun Life Gold Fund as on 31 Jul 26

Asset Allocation

Asset Class	Value
Cash	1.64%
Other	98.36%

Top Securities Holdings / Portfolio

Name	Holding	Value	Quantity
Aditya BSL Gold ETF - \| -	100%	₹1,665 Cr	133,588,381 ↑ 5,000
Treps CBLO/Reverse Repo \| -	0%	₹3 Cr
Net Receivable / Payable CBLO \| -	0%	-₹2 Cr

3. SBI Gold Fund

The scheme seeks to provide returns that closely correspond to returns provided by SBI - ETF Gold (Previously known as SBI GETS).

Research Highlights for SBI Gold Fund

Highest AUM (₹15,812 Cr).
Oldest track record among peers (15 yrs).
Rating: 2★ (lower mid).
Risk profile: Moderately High.
5Y return: 25.04% (top quartile).
3Y return: 35.40% (top quartile).
1Y return: 35.26% (top quartile).
1M return: -0.18% (upper mid).
Alpha: 0.00 (lower mid).
Sharpe: 1.22 (upper mid).
Information ratio: 0.00 (lower mid).
Top bond sector: Cash Equivalent.
Largest holding SBI Gold ETF (~100.1%).
Top-3 holdings concentration ~100.4%.

Below is the key information for SBI Gold Fund

SBI Gold Fund Growth
Launch Date	12 Sep 11
NAV (16 Sep 26)	₹43.9921 ↑ 0.45 (1.03 %)
Net Assets (Cr)	₹15,812 on 31 Jul 26
Category	Gold - Gold
AMC	SBI Funds Management Private Limited
Rating	☆☆
Risk	Moderately High
Expense Ratio	0.3
Sharpe Ratio	1.22
Information Ratio	0
Alpha Ratio	0
Min Investment	5,000
Min SIP Investment	500
Exit Load	0-1 Years (1%),1 Years and above(NIL)

Growth of 10,000 investment over the years.

Date	Value
31 Aug 21	₹10,000
31 Aug 22	₹10,698
31 Aug 23	₹12,347
31 Aug 24	₹14,787
31 Aug 25	₹20,728
31 Aug 26	₹30,931

SBI Gold Fund SIP Returns

Total investment amount is ₹300,000
expected amount after 5 Years is ₹570,326.
Net Profit of ₹270,326 Invest Now

Returns for SBI Gold Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 16 Sep 26

Duration	Returns
1 Month	-0.2%
3 Month	0.6%
6 Month	-1.9%
1 Year	35.3%
3 Year	35.4%
5 Year	25%
10 Year
15 Year
Since launch	10.4%

Historical performance (Yearly) on absolute basis

Year	Returns
2025	71.5%
2024	19.6%
2023	14.1%
2022	12.6%
2021	-5.7%
2020	27.4%
2019	22.8%
2018	6.4%
2017	3.5%
2016	10%

Fund Manager information for SBI Gold Fund

Name	Since	Tenure
Viral Chhadva	1 Mar 26	0.42 Yr.

Data below for SBI Gold Fund as on 31 Jul 26

Asset Allocation

Asset Class	Value
Cash	1.74%
Other	98.26%

Top Securities Holdings / Portfolio

Name	Holding	Value	Quantity
SBI Gold ETF - \| -	100%	₹15,823 Cr	1,309,409,339 ↑ 29,228,118
Net Receivable / Payable CBLO \| -	0%	-₹31 Cr
Treps CBLO/Reverse Repo \| -	0%	₹20 Cr

4. Nippon India Gold Savings Fund

The investment objective of the Scheme is to seek to provide returns that closely correspond to returns provided by Reliance ETF Gold BeES.

Research Highlights for Nippon India Gold Savings Fund

Upper mid AUM (₹6,959 Cr).
Established history (15+ yrs).
Rating: 2★ (bottom quartile).
Risk profile: Moderately High.
5Y return: 24.79% (lower mid).
3Y return: 35.09% (lower mid).
1Y return: 34.89% (lower mid).
1M return: -0.20% (lower mid).
Alpha: 0.00 (bottom quartile).
Sharpe: 1.13 (bottom quartile).
Information ratio: 0.00 (bottom quartile).
Top bond sector: Cash Equivalent.
Largest holding Nippon India ETF Gold BeES (~100.0%).
Top-3 holdings concentration ~100.3%.

Below is the key information for Nippon India Gold Savings Fund

Nippon India Gold Savings Fund Growth
Launch Date	7 Mar 11
NAV (16 Sep 26)	₹57.4317 ↑ 0.59 (1.04 %)
Net Assets (Cr)	₹6,959 on 31 Jul 26
Category	Gold - Gold
AMC	Nippon Life Asset Management Ltd.
Rating	☆☆
Risk	Moderately High
Expense Ratio	0.35
Sharpe Ratio	1.13
Information Ratio	0
Alpha Ratio	0
Min Investment	5,000
Min SIP Investment	100
Exit Load	0-1 Years (2%),1 Years and above(NIL)

Growth of 10,000 investment over the years.

Date	Value
31 Aug 21	₹10,000
31 Aug 22	₹10,706
31 Aug 23	₹12,237
31 Aug 24	₹14,692
31 Aug 25	₹20,596
31 Aug 26	₹30,613

Nippon India Gold Savings Fund SIP Returns

Total investment amount is ₹300,000
expected amount after 5 Years is ₹556,833.
Net Profit of ₹256,833 Invest Now

Returns for Nippon India Gold Savings Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 16 Sep 26

Duration	Returns
1 Month	-0.2%
3 Month	0.6%
6 Month	-2%
1 Year	34.9%
3 Year	35.1%
5 Year	24.8%
10 Year
15 Year
Since launch	11.9%

Historical performance (Yearly) on absolute basis

Year	Returns
2025	71.2%
2024	19%
2023	14.3%
2022	12.3%
2021	-5.5%
2020	26.6%
2019	22.5%
2018	6%
2017	1.7%
2016	11.6%

Fund Manager information for Nippon India Gold Savings Fund

Name	Since	Tenure
Himanshu Mange	23 Dec 23	2.61 Yr.

Data below for Nippon India Gold Savings Fund as on 31 Jul 26

Asset Allocation

Asset Class	Value
Cash	1.66%
Other	98.34%

Top Securities Holdings / Portfolio

Name	Holding	Value	Quantity
Nippon India ETF Gold BeES - \| -	100%	₹6,959 Cr	594,220,572 ↑ 3,245,000
Net Current Assets Net Current Assets \| -	0%	-₹11 Cr
Triparty Repo CBLO/Reverse Repo \| -	0%	₹11 Cr
Cash Margin - Ccil CBLO/Reverse Repo \| -	0%	₹0 Cr

5. Kotak Gold Fund

The investment objective of the scheme is to generate returns by investing in units of Kotak Gold Exchange Traded Fund.

Research Highlights for Kotak Gold Fund

Lower mid AUM (₹6,532 Cr).
Established history (15+ yrs).
Rating: 1★ (bottom quartile).
Risk profile: Moderately High.
5Y return: 24.50% (bottom quartile).
3Y return: 35.12% (upper mid).
1Y return: 35.14% (upper mid).
1M return: -0.25% (bottom quartile).
Alpha: 0.00 (bottom quartile).
Sharpe: 1.30 (top quartile).
Information ratio: 0.00 (bottom quartile).
Top bond sector: Cash Equivalent.
Largest holding Kotak Gold ETF (~99.8%).
Top-3 holdings concentration ~100.2%.

Below is the key information for Kotak Gold Fund

Kotak Gold Fund Growth
Launch Date	25 Mar 11
NAV (16 Sep 26)	₹57.6612 ↑ 0.65 (1.14 %)
Net Assets (Cr)	₹6,532 on 31 Jul 26
Category	Gold - Gold
AMC	Kotak Mahindra Asset Management Co Ltd
Rating	☆
Risk	Moderately High
Expense Ratio	0.5
Sharpe Ratio	1.3
Information Ratio	0
Alpha Ratio	0
Min Investment	5,000
Min SIP Investment	1,000
Exit Load	0-6 Months (2%),6-12 Months (1%),12 Months and above(NIL)

Growth of 10,000 investment over the years.

Date	Value
31 Aug 21	₹10,000
31 Aug 22	₹10,634
31 Aug 23	₹12,161
31 Aug 24	₹14,601
31 Aug 25	₹20,423
31 Aug 26	₹30,400

Kotak Gold Fund SIP Returns

Total investment amount is ₹300,000
expected amount after 5 Years is ₹556,833.
Net Profit of ₹256,833 Invest Now

Returns for Kotak Gold Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 16 Sep 26

Duration	Returns
1 Month	-0.3%
3 Month	0.5%
6 Month	-1.8%
1 Year	35.1%
3 Year	35.1%
5 Year	24.5%
10 Year
15 Year
Since launch	12%

Historical performance (Yearly) on absolute basis

Year	Returns
2025	70.4%
2024	18.9%
2023	13.9%
2022	11.7%
2021	-4.7%
2020	26.6%
2019	24.1%
2018	7.3%
2017	2.5%
2016	10.2%

Fund Manager information for Kotak Gold Fund

Name	Since	Tenure
Abhishek Bisen	25 Mar 11	15.45 Yr.
Jeetu Sonar	1 Oct 22	3.92 Yr.

Data below for Kotak Gold Fund as on 31 Jul 26

Asset Allocation

Asset Class	Value
Cash	1.66%
Other	98.34%

Top Securities Holdings / Portfolio

Name	Holding	Value	Quantity
Kotak Gold ETF - \| -	100%	₹6,520 Cr	551,808,125 ↑ 3,970,000
Triparty Repo CBLO/Reverse Repo \| -	0%	₹19 Cr
Net Current Assets/(Liabilities) Net Current Assets \| -	0%	-₹8 Cr

How to Invest in Gold Funds Online?

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Disclaimer:
All efforts have been made to ensure the information provided here is accurate. However, no guarantees are made regarding correctness of data. Please verify with scheme information document before making any investment.