A Study on the Association between Awareness of Investors and Demographic Factors towards Gold ETFs, Gold Bonds, and Gold Deposits

Abstract

Gold is one of the valuable metals and an important asset class for investors. People in India are emotionally attached to gold. Thousands of tonnes of idle gold are lying with Indian temples, trusts, and individuals. Investors consider capital appreciation; interest income and safety are major factors that influence buying of gold [1][4][7]. India is one of the biggest importers of gold every year. The government of India has introduced a few gold-related schemes to reduce gold imports. Sovereign gold bond [2] scheme and Re-vamped gold deposit scheme are introduced in the year 2015 under the Swarna Bharath initiative [9]. The present study is an attempt to find the association between awareness of investors and demographic factors towards gold ETFs, gold bonds, and gold deposits. The results reveal that there is a significant association at a 5% significance level between awareness of investors and all demographic factors used in the study except the gender of the respondent.