India’s Reliance Capital launches gold fund for NRIs
Reliance Mutual Fund, a part of India’s Reliance Capital Asset Management with AuM of $24 billion, announced the launch of Reliance Gold Savings Fund in Dubai on Thursday.
The first-of-its-kind fund-of-fund enables investments in gold, in paper form, without any demat account, unlike existing gold investments in exchange-traded-funds (ETFs) mode where a demat account is mandatory, a statement said.
“We firmly believe the gold investment opportunity in India is not primarily tapped. We expect this gold investment industry to surpass the equity mutual fund in the next 3 years and are convinced that this product will offer a simple, affordable and investor-friendly solution for investing in gold to the masses,” Sundeep Sikka, CEO, Reliance Capital Asset Management, said announcing the new fund offer (NFO) which is open from February 14 to February 28.
The NFO is the first gold fund that provides investors with the hassle-free facility to invest in the yellow metal through online and physical application mode, the statement added.
The fund allows systematic investment plan (SIP) starting as low as Rs 100 per month and in multiples of Re 1 thereafter.
The fund also enables the investor to avail long-term taxation benefits from first year, unlike physical gold wherein long-term taxation can be availed after 3 years, the statement said.
“Investors can directly subscribe or redeem units on all business days directly from the AMC through the physical mode at the various designated investor services centres across the country, thereby, making it easily accessible and convenient,” Sikka added.
Follow Emirates 24|7 on Google News.