How to buy gold:: ETF, SGB, Digital Gold or Physical

North Desk Bureau

Chandigarh, April 18

How to buy gold? In what form? And from where? or Should I buy gold at all?

Every year, as Akshay Tritiya approaches, the jewellers’ lanes in Chandigarh’s Sector 22, and Ludhiana’s Sarafa Bazaar fill up. This year was no different — except for one thing. The gold sitting in those glass cases looked worth more than it has ever been in recorded history. And it has already been through a significant scare in the weeks before the festival.

Where Prices Stand Today

As of April 18, 2026, 24-karat gold in Chandigarh and Ludhiana is priced at ₹15,593 per gram — roughly ₹1,55,930 per 10 grams. For 22-karat gold, the form most commonly used in jewellery, the rate stands at ₹14,295 per gram. These are indicative bullion prices; your jeweller’s bill will add 3% GST plus making charges on top. You can check gold and silver price here

Globally, gold was priced at approximately $4,816 per ounce in mid-April 2026 — an increase of $1,489 compared to just a year ago.

The Remarkable Run — and the Numbers Behind It

To understand how far gold has travelled, consider the arc of the last few years. The average annual price of 24-karat gold in India was around ₹65,330 per 10 grams in 2023. In 2024, it averaged ₹64,070 during phases of global monetary tightening and a stronger dollar. By 2025, it rallied to an annual average of around ₹82,450. And from January 2025 through early 2026, India witnessed a historic structural bull run fuelled by global economic instability, persistent inflation, and a weakening rupee. The result: gold has more than doubled in rupee terms in under two years. In dollar terms, gold gained over 41% in the 12 months to April 2026.

But Here Is What Many Buyers Are Missing: The Recent Dip

Before you book your jeweller appointment, there is a subplot that deserves attention. Gold — widely seen as the ultimate safe-haven asset — has not behaved like one since the Iran war began in late February 2026.

When the US and Israel launched strikes on Iran in late February, gold initially surged from around $5,296 to $5,423 per ounce, consistent with its traditional safe-haven role. But a sharp sell-off followed, with prices falling more than 6% within days. The reason was counterintuitive: the same war that made investors nervous also pushed oil sharply higher, raising fears of prolonged inflation — and with it, expectations that the US Federal Reserve would keep interest rates elevated for longer. Higher rates make gold less attractive because it yields nothing; money tends to flow toward interest-bearing assets instead.

Spot gold slumped by over 10% from its peak since the start of the Iran war, as a move into the US dollar — seen as a safe harbour — also strengthened the greenback, making bullion more expensive for overseas buyers.

The volatility has continued in waves since. A two-week ceasefire brokered by Pakistan took effect on April 8, briefly triggering a sharp crude oil crash and a simultaneous gold surge. But the ceasefire quickly showed cracks — marathon peace talks in Islamabad collapsed after 21 hours of negotiations on April 12, and on April 13, the US announced a naval blockade of Iranian ports. The Strait of Hormuz — closed for over 45 days — remains constrained, and the Chicago Fed has signalled the central bank may need to wait until 2027 to cut interest rates if oil-driven inflation persists.

This explains why, despite gold’s extraordinary bull run, it is currently trading well below the highs it set earlier in 2026. Silver has followed a similar trajectory and has been more volatile still.

The takeaway for buyers this Akshay Tritiya: the immediate environment is uncertain, and anyone buying gold right now — in any form — should do so with a medium-to-long-term horizon, not on the assumption that this week’s price is the floor.

Why Has Gold Run So Hard Over Two Years?

The longer-term story is more straightforward. Central banks worldwide — particularly in China, India, and across the Gulf — have been accumulating gold aggressively to reduce dependence on the US dollar. The rupee’s sustained weakness against the dollar has made every imported ounce costlier in Indian terms. Even a shift of ₹1 to ₹2.5 in the exchange rate can move gold by ₹55 to ₹120 per 10 grams. And global investment demand for gold increased 25% in 2024 as investors sought a safe asset against volatile equity markets.

So Do You Buy This Akshay Tritiya?

The auspiciousness of the day is not in dispute. But how you buy gold — and in what form — matters more in 2026 than it ever has. At these prices, buying jewellery as an investment is the most expensive route. Making charges in Chandigarh and Ludhiana jewellers typically run between 8% and 25% depending on design complexity — money you will not recover unless gold prices rise enough to absorb them. The 3% GST adds further to your entry cost. For those buying gold as an investment rather than for personal use or gifting, there are better routes.

Here is a plain-language breakdown of your four options:

How to buy Gold:

Physical Gold — Jewellery, Coins, and Bars

The oldest and most familiar form. You own it, you hold it, you can wear it or lock it away. But it comes with real costs: making charges, GST, storage, insurance, and purity risk if you are not careful about hallmarking. Since 2021, BIS hallmarking is mandatory across India — always check for the HUID number on any jewellery purchase. Physical gold makes complete sense for weddings, gifting, and cultural occasions. As a pure investment play at current prices, you are paying a significant premium from day one.

Gold ETFs — The Stock Exchange Route

Gold Exchange Traded Funds are units backed by physical gold, traded on the stock exchange just like shares. You need a demat account and a trading account — that is it. No making charges. No storage cost. You can buy as little as 0.1 gram worth. Prices are publicly visible on the exchange and you can track changes even on an hourly basis; there are no entry or exit loads. The top funds in India by assets under management are Nippon India Gold BeES, SBI Gold ETF, and HDFC Gold ETF. For long-term investors, Gold ETFs attract 12.5% long-term capital gains tax after 12 months of holding. The downside: a small annual expense ratio (typically 0.5–1%), and returns depend entirely on gold price movement with no additional income component.

Sovereign Gold Bonds (SGBs) — The Government Paper, With a Catch

SGBs were issued by the Reserve Bank of India on behalf of the Government of India, denominated in grams of gold. They came with a compelling sweetener: a guaranteed 2.5% annual interest paid every six months, on top of gold price appreciation. If held to their full 8-year maturity, capital gains were completely tax-free. However, two critical 2026 developments have changed the picture. First, new SGB tranches are no longer being issued, making the secondary market on NSE or BSE the only access point. Second, Budget 2026 clarified that the capital gains tax exemption at maturity applies only to investors who purchased SGBs directly from the government in the primary market. Secondary market buyers are now taxable. SGBs can still make sense for investors who evaluate secondary market pricing carefully and model their yield accordingly — but they are no longer the simple, tax-free instrument they once were.

Digital Gold — Convenient, But Carry SEBI’s Warning

Digital gold, sold through apps like Paytm, PhonePe, and Google Pay, lets you buy as little as ₹1 worth of 99.9% pure gold stored in a vault. It is not banned — but SEBI has formally and publicly cautioned investors against it. In a circular dated November 8, 2025, SEBI stated that digital gold products are neither notified as securities nor regulated as commodity derivatives, and therefore operate entirely outside SEBI’s purview. If a platform fails through liquidation, mismanagement, or fraud, SEBI will not be able to help. There is no formal ombudsman or grievance channel. SEBI’s advisory is not a ban — it is a clear reminder that the protections investors expect in a regulated financial product do not apply here.  

Gold Mutual Funds — The SIP Route for the Non-Demat Investor

If you do not have a demat account, gold mutual funds offer a practical alternative. These funds invest in gold ETFs and can be bought through any mutual fund platform with standard KYC. You can set up a monthly SIP for as little as ₹500. They carry a slightly higher cost than direct ETFs — there is a fund management layer on top of the ETF expense — but they remove the friction of needing a trading account, making them ideal for salaried investors who want systematic, disciplined gold exposure without market-timing pressure.

Which Route Is Right for You?

There is no universal answer, but a simple framework helps. If you are buying for a wedding, ceremony, or festival gifting, physical gold with BIS hallmarking is the only practical choice — just do not treat it as an investment. If you want liquid, market-linked gold exposure and already have a demat account, Gold ETFs are the cleanest option. If you want to invest systematically without setting up a trading account, a Gold Fund SIP is the most frictionless path. Digital gold works for very small or symbolic amounts — but go in with eyes open about SEBI’s stated position on it. And SGBs, once the smartest instrument in this space, now require careful scrutiny before any secondary market purchase.

For live gold rates in Chandigarh and Ludhiana updated daily, visit North Desk’s Gold Rate page

Akshay Trithya falls on April 19. Why Gold is at the heart of it

Akshay Tritiya — also written Akshaya Tritiya — is one of the most auspicious days in the Hindu calendar. The name comes from Sanskrit: akshaya means imperishable, that which never diminishes. Tritiya refers to the third lunar day. The festival falls on the third day of the bright half (Shukla Paksha) of the month of Vaishakha in the Hindu calendar — which this year corresponds to April 19.

The day is considered inherently auspicious, unlike most Hindu festivals that require a specific muhurta (auspicious time window). Akshay Tritiya is believed to be self-propitious — good for new beginnings at any hour of the day.

It holds significance across multiple traditions. In Vaishnavism, it is associated with the birthday of Parashurama, the sixth avatar of Vishnu. In Jain tradition, it marks the day Rishabhanatha, the first Tirthankara, ended his year-long fast by accepting sugarcane juice. In several North Indian communities, it is celebrated as the birthday of Adi Shankaracharya. The Mahabharata also has a connection — it is believed that Yudhishthira received the Akshaya Patra, the inexhaustible vessel, on this day.

The practice of buying gold on Akshay Tritiya is rooted in the belief that anything begun or acquired on this day will multiply and never diminish — akshaya. Gold, already a symbol of wealth, prosperity, and Goddess Lakshmi, is the natural choice. Even a small purchase — a coin, a few grams — is considered a step toward enduring prosperity. The day is so ingrained in the gold trade that jewellers across India treat it as one of their two or three biggest sales days of the year, alongside Dhanteras. In Punjab and Haryana, where gold is deeply embedded in wedding traditions and family savings culture, Akshay Tritiya purchases often extend beyond symbolic buys into significant investments in coins, bars, and ornaments.

⚠️ DISCLAIMER

This article is for informational purposes only and does not constitute financial, investment, or tax advice. Readers are advised to consult a SEBI-registered investment advisor or certified financial planner before making any investment decisions.