Gold Investment Calculator
Calculate lump sum, SIP returns, and budget planning
Lump Sum Gold Investment
Amount Invested
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Estimated Gain
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(% total return)
Future Value
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Gold vs Other Investments (Illustrative)
Historical comparison — past performance does not guarantee future results.
| Investment Type | Avg. Annual Return | Risk Level | Liquidity |
|---|---|---|---|
| Physical Gold | 8–10% | Low | Medium |
| Sovereign Gold Bond (SGB) | 10–12% | Very Low | Low |
| Gold ETF / Mutual Fund | 8–10% | Low | High |
| Bank Fixed Deposit | 6–7.5% | Very Low | Medium |
| Equity Mutual Fund | 12–15% | High | High |
| Real Estate | 8–12% | Medium | Very Low |
Gold Investment FAQs
Gold has historically delivered 8–10% annual returns in India and acts as a hedge against inflation and currency depreciation. It is especially valuable during economic uncertainty. However, physical gold has storage costs and does not provide regular income.
Sovereign Gold Bonds (SGBs) are government securities that track gold prices. They offer 2.5% annual interest in addition to gold price appreciation, are taxed favourably (no capital gains tax if held till maturity), and have no storage costs. Physical gold offers immediate liquidity and tangible ownership.
Gold in India has delivered approximately 10% CAGR over the last 20 years (2004–2024), outperforming fixed deposits and even some equity funds. However, gold can be stagnant for years before a sharp rally, so it is recommended as 10–15% of your total portfolio.
Physical gold and gold ETFs attract 20% LTCG (Long-Term Capital Gains) tax with indexation benefit if held for more than 3 years. Short-term gains are added to income and taxed at slab rate. SGBs held till maturity (8 years) are fully exempt from capital gains tax.