Advantage of Financial Planning: Gold Fund vs Gold ETF

Advantage of Financial Planning

FINANCIAL PLANNING is basically investing your money to generate return which bets inflation & earns you risk adjusted returns to meet the requirements in different mile stones of the journey called life. Mile Stones are MARRIAGE, CHILD EDUCATION, CHILD MARRIAGE, ASSET BUILDING, OVERSEAS TRAVEL, RETIREMENT PLANNING. Planning should involve LIQUIDILITY of Funds & GROWTH. Always re analyse with the change in situtation. Enough INSURANCE to cover your LIABILITY & RISK.

Friday, 7 December 2007

Gold Fund vs Gold ETF

The benefit of DSP Merrill Lynch World Gold Fund vs Gold ETFs / Bullion

Gold Equity can grow either organically / through M&A whereas Gold ETFs / Bullion can not.
Profitability of gold mining companies tends to increase with a rise in the price of gold.
Gold Fund is actively managed vis a vis Passively managed Gold ETFs/Bullions
World Gold Fund invest into Global Market

DSP ML World Gold Fund has potential to Out Perform Gold ETFs/Bullion in the long run. Many AMC are coming up with Gold Funds and even ETFs

Our recommendation:

We recommended World Gold Fund vis a vis ETF. If ETFs/Bullion grows 10%, the Gold Fund grows 50%
Happy Investing!

Zoher Doctor / Smart Money Inc.
F i n a n c i a l P l a n n e r
http://www.blogger.com/www.smartmoneydirect.co.in