Monday, December 3, 2012

Index Funds or Active Funds???

 Index Funds mirror their respective Benchmark Indices and Diversified Equity Funds follow Active Investment strategy and are in constant search of stocks to generate Alpha returns in respect of their benchmark indices.

The management of Index Funds is easy as no decision is needed on stocks to buy, sell, hold as the Fund just tracks its Benchmark accurately.

Since, the Index Funds just mirrors the Index, there is no chance of it beating the Index. Sure, it can't do bad either.

Of course, some Index Funds deviate here too. For ex :
For 1 year period, ICICI Pru Spice Plan gave a return of 20.4%, in the same period, the Franklin India Index- BSE gave a return of only 17.5%
For a index fund, doing better or worse than its Benchmark Index is a sign of Bad Management.

Active funds

If an investor had invested Rs.1 Lakh 5 years ago in IDFC Premier Equity Fund, the value would have been Rs.1,63,808.

If the same investor had invested his Rs.1 Lakh in Franklin India Index Fund - BSE Sensex Plan, the value would have been Rs.99,773.

Clear indication that Active Managed Funds fare better, much much better than Indicies over a long time frame.

1. Since no research is involved and no active trading is involved, the charges are low.
Yes, Active Funds do have higher expenses, but they also have consistently delivered higher returns.
Give me fund which delivers higher returns with higher costs any day over the fund which delivers lower returns with lower costs.

2. Since the Funds mirror the Index, the level of risk is low
1. Most Index Funds invest in  Large Large Caps and typically these stocks tend to be very expensive stocks.

2. In Index, stocks are taken out when it is nearly near its downward spiral (business wise and stock price wise), thus the Index Funds are forced to stay with the stock inspite of knowing that the stock will go only way - down. Ex : Reliance Comm was exited by Majority of Active funds before it was taken out from Index, but Index Funds were forced to stay put in the Stock.

3. Index fund managers also don’t start buying the newly added companies until they’re officially added while active managers already have the new (and better) stocks in hand.

1. The Fund Manager could pack his bags and leave the Fund and its investors high and dry.
This, however, is mitigated in most fund houses, as they believe in "process and system" rather than in genius of Star Fund Manager.
2. The level of risk is higher.

The primary difference between passive funds and active funds; one is content at giving index-linked returns, while the other consciously tries to outperform it.

The past records have proved that Active Funds have consistently outperformed Index Funds by a fair margin. In fact, Active Funds have beaten the broader indices like the BSE 200.
As they say, Be ACTIVE, enjoy life.
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Tuesday, November 13, 2012

Avoid Jewellers Gold Savings Scheme.... Here's why

Indians Love Gold!

Jewellery Houses like Tanishq, PC Jewellers and GRT Jewellers have been quick to latch on to this craze of Indians and have launched innovative Gold Savings Schemes to lure buyers. With as little as Rs.1000/- per month, you can save systematically with the jeweller for 11 months and the Jeweller will usually add a month's instalment FREE (some jeweller even pay two instalments) at the end of the saving period. 



Yes, depending on Jeweller and scheme, these schemes offer returns in the range of 8% to 18%.
So, in essence, these Jeweller Gold Saving Schemes are EMI in Reverse. They help you buy Jewellery at a Future Date by saving and accumalating.
Sounds good. Then, what's the catch? Why are Financial Experts suggesting you to avoid these Jeweller Gold Saving Schemes?

There are several reasons and let us look at them one by one and see the reasoning.
1. Almost every Jeweller offers you Gold only at the end of the Term and at that days price. This means you are more likely to get less Gold because of the Appreciation Factor.
Ex : If you are investing Rs.3000 on the 10th of every month to buy 10 grams of Gold at the end of the year and if the Gold price steadily goes up, then obviously you will left with less Gold and you will be forced to put extra money to buy your 10 gms Gold.
So, if say you started your instalments in January and the Gold price was 2800 per gram and at the completion of your instalments in November, the December price of Gold is 3000 per gram then you are forced to pay Rs.3000 per gram whereas the Jeweller would have bought at Rs.2800 per gram.
This drawback could be avoided if you investing through Gold Savings Schemes by Mutual Fund as the averaging works better. 

 2. Almost every Jeweller forces you to buy Gold Jewellery and does not give you Cash in return. Now, what this makes you, you are forced to pay Making Charges fo Jewellery and either you pay extra cash or buy less Gold.
In Mutual Fund gold Savings Schemes you are getting CASH and thus saved the igomy of paying Making Charges, etc.

3. The Gold Savings scheme by Jewellers do have SEBI approval and thus there is no monitoring of the cash you pay. These Jewellers may be using your fund for Working Capital, business, etc and nobody checks their books. So, if tomorrow, suddenly Gold price crashes and all Investors stop their instalments and ask for Gold, then you never know how many of these Jewellers would be able to keep their word.

In Mutual Fund Gold Savings Schemes, SEBI is mandatory. Their books are mandatory checked. All your funds/investments are backed by Physical Gold.

4. Very few Jewellers offer 24 Karat Gold. Almost every jeweller offers only 22k gold. So, since you will not get cash from the Jeweller, you are buying Gold which is not 100% pure.
In Mutual Fund Gold Savings Scheme, your funds are backed by 24k Pure Gold.

5. Resale value of Jewellery is lesser. Jewellery is not made of 24 Carat Gold and also carries making charges, resale value of Jewellery is much less compared to Gold coin/biscuits/Gold bars. Since you are forced to buy Jewellery and do get cash/gold coins from the Jewellery, you are again losing.
In Mutual Fund Gold Savings Scheme, since you paid cash, you can either reinvest or buy Gold Coins instead of Jewellery.

6. You have to buy from the Same Jeweller even if the Jeweller does not have designs of your choice.
In Mutual fund Gold Savings scheme, since you are paid cash in lieu of Gold, you can buy from Jeweller of your choice.

7. If at the end of the Instalment period, if you are in need of Cash for emergency, you wont be able to use this money as you are given only Jewellery. The best you can do is to sell the piece of Jewellery and forgo the making charges.
In Mutual Fund Gold Savings Scheme, you are paid cash always.

8. In Jeweller Gold Saving Scheme your Gold purchase attracts Wealth Tax and also Capital Gain Tax (if you sell within 3 years).
In Mutual Fund Gold Savings Scheme, there is no Wealth Tax and you are taxed for Long Term Capital Gains just after 1 year (in physical gold, you have to wait for 3 years).

Jewelers not only earn interest on the buyer's installment but also sell the jewelry after earning a handsome margin. For 20 grams gold jewelry, he earns Rs 600 making charge and sells 22 carat gold at rate of 24 carat gold. So he earns approx 8% extra by selling gold of 22 carat purity.
For jewelers, this scheme is a win-win situation as he gets the chance to sell his product, and at the same time he earns interest on the customer’s installment.
Some jewellers do offer "zero wastage" to lure gullible investors, but do note that these "zero" wastage if only for few select designs/pieces. INtricate desingner Jewellery could still see a higher levy.
For lower middle class people, and for people who want to accumulate Gold for marriage or other purposes in near future, the Jeweller Gold Saving Scheme looks okay, but for all other purposes, Mutual Gold Saving Scheme is the BEST.
If you are hell bent on investing in these schemes of Jewellers, then I feel that PC Jewellers and GRT are better among the Worst.

While you may argue, that since the Jeweller gives me 1 month instalment FREE and the returns works out to 15%, do note that the same investment in Gold Saving Scheme via SIP would have given you 27% return. Jewellers are not here for charity, they give FREE last instalment with money made from your previous instalments!
Purity is another matter of seriuos concern. Though the use of "hallmark" has reduced this malice, still it persists.
Indian households predominantly purchase gold in the form of jewellery. Gold Jewellery has aesthetic appeal and is widely used for ornamentation. Besides, investment in gold jewellery is also done for a special occasion such as a marriage, birth of a child etc. However, jewellery by itself has a major drawback - there is a loss of around 30% due to making and melting charges when you buy and sell.

WHAT I FEEL.................
Gold continues to be a non-productive asset and over long periods of time, returns from gold seldom beat returns from productive assets classes like equities. Unless you are an active investor who can spend a lot of time rebalancing your portfolio, I recommend an exposure of anywhere between 5 to 15% of your total assets in gold.
Gold ETFs or Gold Saving Schemes by Mutual Funds offer you the option of buying in monthly instalments which ensures that you buy Gold at various Price points thus averaging out your Purchase price.
If you really want to accumulate Gold through monthly instalments, the BEST option would be invest through Gold Savings scheme offered by Mutual Funds. This will also help you in averaging your instalments.

If you had invested Rs.100 in 1980 in both Gold and Equity (Sensex), the value of gold now would be Rs.1314 and that of Equity (Sensex) would be Rs.15600/-
The most important thing is the proper asset allocation.Both equity and gold mutual funds have a place in a portfolio.For long term investment equity mutual funds should form core of the portfolio with gold funds acting as a hedge to balance and add stability to the overall portfolio.So, invest in a gold fund once you have built a well diversified portfolio of equity mutual funds with 5 to 10% portfolio allocation to gold.
As has been pointed out often, gold is an unproductive asset. Unlike stocks or bonds, it's a type of asset where value depends on nothing but a shared belief that the value will rise and keep rising.

Most investors invest in Bank Recurring Deposits to buy Gold at a future date. This is not a good idea since Interest Rates may not keep pace with the rise in Gold price and they will not be able to achieve their objective.

Gold Jewellery Schemes aim is to give you Gold/Jewellery whereas gold Savings Funds/Gold ETFs aim to give you Cash.
So, if you want to buy Jewellery in the near future (say 1 year), then go for Jewellery Gold Savings Schemes, but if you want to buy Gold as an Investment or if your Gold usage is at a later date (say your daughter's marriage, which is several years away) , then its Gold Savings Fund/Gold ETF blindly.
Caveat, if it is for consumption, then unless you have a very trusted and reliable Jeweller (ready to buy back from you), dont think of these Gold Savings Schemes by Jewellery Stores.
Buy Gold ETF , Sell the Units when you want gold and from the money you get , go buy gold !

Happy Diwali and best of luck,
Srikanth Matrubai

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Wednesday, August 22, 2012


Mr.Ajay Kumar wrote :
Hi sir i redeemed my 20,000 in Hdfc Income fund but, I am having SIP's
in HDFC TOP 200 (1000/mth = 8months = 11699 rupees till date ) and
Sundaram SELECT FOCUS ( 500/mth = 8months = 5550 rupees till date ).

Now, should i book profits of 3699 in HDFC TOP 200 and 1550 in
sundaram SELECT FOCUS (or) redeem total money from both funds ? and Is
this the way to book profits in SIP's when market goes up then book
the profits and continue with the rest of the money ? please explain ?

Dear AjayKumar,

It is a surprise how people change their investment strategy with the market behavior. Sure, one should move with the market but changing your strategy every time with change in market sentiments is a sure recipe for disaster. At Market lows, in Dec 2008, you were afraid of markets and were looking for Debt funds as a diversification tool and now with the slight positive change in Equities, you have even redeemed your Debt fund.
Of course, the performance of HDFC income Fund has been less than its peers but one should 'allow' a Fund time to settle and prove its mettle. And moreover, it pays have a Diversified Portfolio with a bit of Debt thrown in.
However, now that you have redeemed your investment in HDFC Income Fund, we will close the chapter and concentrate on present investments.

Sticking to Asset Allocation will automatically ensure profit booking and buying at lower levels. Your Financial Advisor should be able to guide on this.
Booking profit should be part of asset allocation strategy rather than timing the market.


It is good to see that your 2 Sip Investments, HDFC Top 200 Fund and Sundaram Select Focus have given Good returns. Though redeeming your profit will be akin to 'trying to "time" the markets', looking at the speed at which the Markets have moved, it would be a good idea to shift the Profit to some Balanced/Debt Funds for now, and wait for the Markets to 'correct' a bit and invest again.

However, the caveat is, that by doing so, you are denying your funds to give you Good "Compound" Returns.

Do the profit booking only if you are short term investor.

DO NOT STOP YOUR SIP. Stick to the SIP. Buying at different levels helps in averaging out the costs. It also helps you stay detached from the market ups and downs. If you opt out of an SIP early, you reduce your odds of accumulating a tidy sum.

When you invested in the first place, you invested towards a goal, then why is it you want to switch now....SIPs should be linked to your goals. Has your investment achieved its goal.....or is it anywhere nearer to its goal???
If your goals are long term, then booking profit now does not make sense.

One way to book profits is going for Dividend option. Fund manager will distribute the profits when the Fund Manager will feel that the markets seems to be overheated.
You can then invest this Dividend proceeds into Debt Fund.

As said earlier, You should book your profits when your actual return has exceeded the target return or when you need to re-balance your asset allocation.


One suggestion I want to give you at this 'typical' question of yours, is , You consider in investing in ICICI Target Returns Fund which "Automatically" shifts your "Appreciation" percentage of amount in a pre-defined Debt Fund on achieving your pre-specified Target.
ICICI Target Returns Fund is a Good Fund which invests in Large Cap Stocks.
Another fool proof strategy would be to invest in a Balanced Fund as this type of funds automatically book profit when the market goes up and buy stocks when the market goes down.
Best of luck,

Srikanth Shankar Matrubai

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Sunday, June 24, 2012

BIG Fund Size is Also a Problem

Is a Big Corpus good or bad for a Fund???
Let us find out…
Sandeep Kumar asked :
All keep on insisting that one should not go for the fun which has grown to a huge corpus, as SBI Magnum Tax gain. It has been mentioned again and again that such funds tend to become imbalanced and it becomes difficult to manage such heavy funds by the Fund manager.
On the other hand, all sites are prescribing DSP rock top 100, Which is again going large in corpus. If I invest rs 2000 as SIP for nest twenty years, Its impossible to get suitable returns as this fund will be heavily burdened that time. So, How to survive this BIG corpus Problem ?
Please HELP. Thanks a Lot.
Sandeep Kumar”
Dear Sandeep,
     Yes, you are right. A Big corpus makes it unwieldy for a Fund Manager to manager his Fund in prudent fashion. Likewise a Small Corpus makes it difficult to make Large Purchases during attractive downturns.
Thus, it is essential that AMCs set up a Cap for each of their Funds, wherein, if the Fund Corpus goes above their comfort zone, they stop Fresh Subscription into the Fund.
     This strategy was sucessfully done by the IDFC Premier Equity Fund. Inspite of Bullish Markets, they resisted the attraction of Fresh Subscription and allowed fresh money to come in only through SIPs which allowed the Fund to perform better most of its peers.
Even Reliance Growth Fund once stopped Fresh Subscription in 2005 for a brief period.
In fact, recently, a Fund Manager confided in me, “Large Corpus means less avenue to invest, especially in a Sector Fund”.
Even Prashanth Jain of HDFC Mutual Fund has admitted “Managing Large Corpus needs more effort when changing the portfolio”.
Arindam Ghosh of Mirae Asset says “Schemes with too large Asset Base can pose bigger challanges”
Dhirendra Kumar of Valueresearch says “An investor must be watchful as too big asset size can be problematic for a scheme”.
But, what I in finality say is…“Size should be secondary consideration while choosing a fund. Before investing in a fund, check its parentage and consistency across market cycles.
If you are particular about Fund Size, then chose a fund which is nearer the Category Average.  
     As for SBI TaxGain it has had a unwieldy Corpus since more than 2 years now. However, the Falling Markets has ensured that its Fund Size is just about the Manageable Limit.
     As for DSP Blackrock top 100 fund, you can consider going for investments, however, do make periodic reviews and make appropriate adjustments.
     Your mutual fund investments need to be periodically monitored. More than the fund size, you will need to keep track of its performance. If you notice a significant degradation of performance, then you will need to find an another fund to invest in. Please note, performance is the key (though fund size might indirectly affect performance).
     Even Mirae Asset too has been very successful because of small size which allows it to be nimble-footed. I like their Mirae Asset India Opportunities Fund very much.
     AMCs nowadays are awake of the problem of Big Corpus/Fund Sizes and I am sure that they will not allow their Fund to become So Big that it becomes impossible to manage.
     Go on, invest in DSPBR Top 100 Fund.
Best of luck,
Srikanth Shankar Matrubai

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Wednesday, June 20, 2012

Is my SIP investments in the right funds?

Is my SIP investments in the right funds?

One blogger Mr.Nishan Asher queried "

I have an SIP plan in the following companies, please let me know if should continue stay invested with the same amount or should I stop or reduce the amount I invest monthly.

I am right now investing a Rs 5000 per month in each SIP

Birla Sunlife Mutual Fund – BSL Midcap Fund – Growth (B251G)

DSP Merill Lynch Mutual Fund – DSP India T.I.G.E.R Fund Grow-Reg (D13)

SBI Mutual Fund – Magnum Global Fund – G (L021G)

Sundaram CAPEX – Growth (S82)




Dear Nishan Asher,

Sadly, your portfolio lacks Good Solid Large Cap Funds. Stop your sips in all the existing funds IMMEDIATELY!!!!!.
Birla Midcap Fund, as the name suggests, is a Mid Cap Fund, which had a good run in the bullish times but now as with the case of all Mid Cap Funds, had a horrendously poor run. Mid cap funds do not look attractive even with a 3 years perspective. Stop your sip and for your existing investment, think about switching to Birla Sunlife Equity Fund.
DSP Tiger Fund and Sundaram Capex fund are both Thematic Funds. Both funds are heavily invested in Infrastructure stocks. With the economy taking a breather and Infrastructure Sector's future not looking rosy, you need to look elsewhere. Stop your sip in both the funds. Stay invested in both the funds for now.
SBI Magnum Global Fund is a Diversified Fund, but had a terrible past and a very poor track record. Stop your sip immediately and switch to Religare Business Leaders Fund.
You can look at investing your 5000 * 4 sip into these funds, with different dates in each fund to take maximum advantage of NAV volatility.
1. DSP BlackRock Equity Fund
2. HDFC Prudence Fund
3. Reliance Equity Opportunities Fund
4. Sundaram Rural India Fund
All these funds have had a good track record both in bull and bear markets. Split your sip investment into different dates.
Review your investments every 6 months or so.
Best of luck,
Srikanth Shankar Matrubai.

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One Guest wrote,
want to park some of my money into liquid funds.
Are "ICICI Pru Gilt - Investment Plan - PF Option" and "Canara Robeco Income (G)" are liquid funds? Can I put my money in these funds? I only know that liquid funds are similar to Savings Account but with more % returns.
These above 2 funds have 5 stars in MC and they have given nearly 25-30% return in a year.
some of my other queries regarding liquid funds are as below:
+ What are tax implications on liquid funds?
+ Difference between liquid and liquid plus funds
+ If I have parked my money in liquid plus and due to some emergency I need some money how can I get it? I mean do I have to fill some form to redeem and submit at AMC? And when will I get the money in my hands?
Please help me in this.

Canara Robeco Income (G) fund is a Bond fund & ICICI Pru Gilt - Investment Plan - PF Option is a Gilt fund.
anyone of above fund is not a liquid or liquid plus fund. ur understanding regarding returns of Liquid funds is right.
+ What are tax implications on liquid funds? - Growth option treated as debt fund, so STCG & LTCG r taxed accordingly. Dividend option- div. option in ur hand is tax free but DDT is 28.325%. From taxation point of view, the DDT (div. distribution Tax) is higher in Liquid funds & at the same time due to higher maturity period of underlying securities of Liquid plus funds`, returns r on higher side in Liq. + funds, it make sense to park money in Liquid + funds.
+ Difference between liquid and liquid plus funds - The maturity period of underlying securities is slightly higher in plus funds & also the DDT is 14.15% only in case of plus funds.

U can get money on T+1 day basis. If u have opted direct trasnfer to ur acct. option while investing, the money `ll be credited to ur acct. directly. As there is no entry or Exit load in case of Liq.. & Liq. + funds, it`s better to invest in these funds thru ur online broker acct. - like Icici direct, Sharekhan, Indiabulls, .....

Selection of Growth & Div. option `ll depend upon 2 things -
1. Ur current Tax slab - as in all probability there `ll be STCG on investment in these funds which `ll be added to ur income & `ll be taxed at ur slab rate.
2. Ur time duration - if u r using these funds either to park surplus money for some better earning on ur liquid cash or u r using these funds as transfer vehicle for investing in Eq. funds under STP mode.

In case of Liq. + funds & `ll use for parking of surplus funds as well as emergency funds, the DDT `ll be 14.15% only, so if u r in 20.6% & higher Tax slab it makes sense to invest in Div. option to minimise Tax outgo.

In case u r using it for STP in Eq. funds, it`s better to invest in Growth option for easy calculation of STCG Tax.

The reason to get the nearly 25-30% return in last 1 year was due to the an inverse relationship between interest rate and prices of securities. And this gets reflected in government bonds first, so if the interest rate goes down, the prices of bonds rises and vice-versa.
On any fixed income investment, whether it’s a gilt or a corporate bond or even a fixed deposit in a bank, there are three types of risk. These are credit risk, liquidity risk and interest rate risk. A high credit risk means that a borrower wouldn’t be able to pay back an investment at all. In government securities, this risk is generally considered to be zero. In other types of f ixed income investments, this risk is higher. In any economy, government securities are considered to be of the lowest risk. Therefore Gilt fund has stood as a far safer investment avenue than others.

Gilt funds could be opportune investment for risk adverse investors particularly when interest rates are likely to go down. I think you can expect return between 8-11% on Gilt funds from now.

However, regarding the fund choice to invest, I would prefer
HDFC Income Fund and Birla Income Fund, especially the former. I have gone through the portfolio of the HDFC Income Fund throughly, and I can with some confidence, that the fund could give a return of at least 14% in the coming year inverse relationship between interest rate and prices of securities.
gilt Funds can give you somewhere between 7-9% and
debt funds should give above 12% comfortably.

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Advise needed on my indian mutual fund Portfolio..

Mr.Shiraz asked : "
pls advise me on my present I am doing Monthly SIP'S in these mutual funds and schemes..My horizon is around 10 years..
1.HDFC Top 200
2.Dsp Equity
3.Idfc Premiur Equity
4.Hdfc Prudence
... 5.Templeton India Pension Plan
6.Reliance Gold fund
7.New Pension Scheme (NPS)
How is my porflio looking..pls advisee thanks in advance and take care...bye""

This question was asked through YAHOO ANSWERS....
Hi, Shiraz,
at the outset, congrats for having a long term outlook.
Investors like you are few and far between.
Out of the above funds,
Hdfc Top 200
Dsp Equity Fund
IDFC Premier Equity Fund
HDFC Prudence Fund
Reliance Gold Fund. 
which means that your selection of funds have been very good. However, the only fund which I feel that you should take out is the Templeton India Pension Plan...

You would do well to have another Diversified Equity Fund like the
Axis Triple Advantage Fund

You can also consider replacing Reliance Gold Fund with RELIGARE Gold Fund as its expenses is lower.

Do review your funds at regular intervals and switch from underperformers
It would also be prudent if you could replace HDFC Top 200 Fund as a Diversified fund would be in a better position to give you better returns and also this will reduce your exposure to the HDFC Fund house.
This is in no way a comment on the performance of HDFC Top 200 Fund.
You can look at investing in
ICICI Dynamic  Equity Fund
Best of luck,
Srikanth Matrubai


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Sunday, May 20, 2012

Religare Gold Fund is the BEST Gold's why...

First let us  understand the advantages of investing in Gold ETF over investing in a Physical Gold.
An ETF is like a share so you can buy it from the broker like you buy any share. 
 - Held in Electronic Form
 - Quick and convenient dealing through demat account
- No storage and security issue for investors
- Transparent pricing
- Taxation of Mutual Fund
- Can be traded on stock exchange like buying / selling a stock
- Ideal for retail investor as minimum lot size to trade is one unit on secondary market
- NAV of a unit will track price of approximately ½ or 1 gram of gold

and yes, 
can invest as low as Rs.100 per month via SIP
lets suppose, you need about 250 gms of gold for your sister's marriage..
start buying regularly in gold etf, so that you can accumulate 250 gms gold by that time. its pure, liquid and tax efficient investment.

When each GOLD ETF is investing in the same asset (Gold) and all the gold ETFs will move up or down based on the price of gold, So,  from where do you think that a significant difference in performance will come that you will be able to differentiate the good, the better  the best in business?

Yes, there is indeed a differentiator!!!

 yes it is true that all Gold ETFs are the same. 

But, there is a difference in performance in each Gold ETFs. this is due to Expense Ratio and Tracking Error.
After painstaking research, I have zeroed in on RELIGARE GOLD FUND as the BEST Gold ETF as not only it has the least Expense Ratio among all the Gold ETfs but also the least Tracking Error.

What is this Expense Ratio??
The expenses are deducted from the fund and you will never feel its direct impact. The NAV will reduce to the extent of the expenses and then the price will adjust to the NAV.

Please note, if you are looking purely from a Liquidity perspective, then Goldman Sachs GoldBees is the one which is most traded on the stock exchanges, but if you are going through the Mutual Fund route, then RELIGARE GOLD FUND is the one I recommend.

Best of luck,
Srikanth Matrubai

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