With PhonePe downloaded on your phone, you can now invest in gold through a systematic investment plan (SIP). This would allow users to invest in 24K gold for a specific amount every month, thus, allowing accumulation of their favourite yellow metal as reported by the Financial Express.
These gold investments will be secured in the bank-grade lockers maintained by PhonePe’s partners MMTC-PAMP and SafeGold. This Walmart-owned digital payment firm allows its users to choose their gold provider, mention the monthly investment amount, and authenticate using UPI PIN.
Investors will have complete control of their gold and can sell it at any time to get direct credit to their bank accounts. Should they choose to redeem this investment in coins and bars, it will be delivered to their doorsteps, the company said in a statement.
The advantage of starting a gold SIP on PhonePe is the convenience of a unified payments interface (UPI). Setting up a gold SIP is a one-time, hassle-free process and all subsequent investments are completely automated. Also, since gold SIP is a periodic investment, investors need not track the gold prices every time to decide regarding the buy and sell of the metal. Besides, investing a predetermined sum towards gold at specific intervals could lower the user’s average investment cost in the long run.
“PhonePe’s vision is to build products and offerings that cater to the varied investment needs of its 380 million users. As Indians look at finding smart ways to buy gold, we are happy to provide our users with the option of setting up a gold SIP through UPI. PhonePe’s gold SIP will help users build their long-term gold investments in a hassle-free way by allowing them to buy the purest 24K gold through small and regular monthly investments,” said Terence Lucien, head of investments at PhonePe.
Users can start investing with as little as ₹100 per month. Currently, Groww and Mobikwik are a few other platforms that provide the option of investing in gold through SIPs.
