Gold has always been more than just jewellery in India—it’s an emotion, a security, and a long-term wealth builder. But you don’t need lakhs to get started. If you are just starting your investment journey, you can start investing in gold with little money or a relatively small amount.
Can you invest in gold with just ₹100 or ₹500? Absolutely.
This post is for beginners who want to invest in gold smartly, safely, and affordably, without buying physical gold or worrying about lockers.
Let’s explore the best low-cost gold investment options in India for 2025.
🟡 Why Invest in Gold at All?
Gold is:
- A hedge against inflation
- A safe-haven asset during market crashes
- Globally accepted and liquid
- Ideal for long-term diversification
💡 Even a small SIP in gold can give you stability during volatile market periods.
🛤️ 1. Digital Gold – Start with ₹1
What it is: You buy real gold (99.9% purity) stored securely by companies like SafeGold, MMTC-PAMP, or Augmont.
✅ Start from: ₹1
✅ Where to buy: PhonePe, Paytm, Google Pay, Airtel Payments Bank
✅ Storage: Free, insured, and secure
✅ Option to convert to jewellery later
📌 Good for students and young earners. But buy only from RBI-recognized platforms.
📈 2. Gold Mutual Funds – Ideal for New Investors
What it is: Mutual funds that invest in gold ETFs. You don’t need a demat account.
✅ Start from: ₹100 via SIP
✅ Liquidity: You can exit anytime
✅ Regulated by SEBI
✅ Fund managers track global gold prices
📌 Best for people new to mutual funds but want exposure to gold.
Top Funds:
- SBI Gold Fund
- Axis Gold Fund
- Nippon India Gold Savings Fund
💳 3. Gold ETFs – For Those With Demat Accounts
What it is: You buy gold in dematerialized form, just like a stock.
✅ Start from: Price of 1 gram (₹6,000 approx.)
✅ Regulated by SEBI
✅ Lower expense ratio than mutual funds
✅ Easy to sell instantly
⚠️ You need:
- A demat account
- Basic knowledge of stock markets
📌 Perfect for DIY investors or those already investing in stocks.
🏦 4. Sovereign Gold Bonds (SGBs) – Best for Long-Term Investment
What it is: Government bonds denominated in grams of gold.
Issued by the RBI in tranches several times a year.
✅ Minimum: 1 gram (~₹6,000)
✅ Bonus: 2.5% annual interest (paid every 6 months)
✅ Tax Benefit: No capital gains tax if held till maturity (8 years)
📌 Ideal for long-term investors looking for returns + gold exposure without storage risk.
💡 You can buy SGBs via your bank, post office, or online platforms like Zerodha, Groww.
Update: Sovereign Gold Bonds (SGB) discontinued: Should you buy from the secondary market?
👎 What to Avoid
- Buying physical gold jewellery as an investment (high making charges, purity doubts)
- Unregulated schemes or gold chit funds
- Informal gold savings without receipts or clarity
🧠 If you can’t verify the source or purity, skip it.
🛡️ Tips Before You Start
- Don’t put all your money in gold—10–15% of your portfolio is enough
- Always check platform credibility (use RBI/SEBI-approved channels)
- Choose based on your goals: Short-term? Try digital gold. Long-term? Go for ETFs.
💬 Final Thought
You don’t need to wait till you have ₹50,000 to start investing in gold.
In 2025, with as little as ₹100, you can begin building wealth in a safe, smart, and scalable way.
Because building habits matters more than building big amounts.
Still unsure or have questions? Feel free to message us—we’re here to help.
