Motilal Oswal ties up with MMTC-PAMP for online gold sale
Leading broking firm Motilal Oswal Securities has tied up with MMTC-PAMP India, the country’s only LBMA (London Bullion Market Association) certified gold refinery, to sell gold coins through its mobile and online platform Me-Gold.
Investors need not open a demat account with Motilal Oswal to buy gold through MeGold but have to comply with the KYC (know your customer) norms. Though the minimum quantity delivered is of one gram (of 24 kt) worth about ₹3,000, investors can accumulate it in small quantity with investment of ₹1,000 a month.
They can also start systematic investment plan to accumulate gold.
Gold price on the platform is linked to the international spot prices and is updated in rupees live including the 10 per cent import duty. The GST of 3 per cent will be levied extra. The online platform also has an option to sell the gold accumulated in electronic form without incurring making charges.
For customers who intend to buy jewellery can exchange the digital gold balance with empanelled jewellers such as PC Jewellers, Senco Gold, Waman Hari Pethe Jewellers, provided they are willing to shell out the making charge for the jewellery.
Motilal Oswal is also in talks to empanel more jewellers into the list. Motilal Oswal, Chairman and Managing Director, MOSL, said its retail client base of 9 lakh people can start buying quality gold on the platform instantly and can gift them to others.
The product satisfies all the qualities of delivering pure physical gold and provides the convenience of e-commerce, he said.
Kishore Narne, Head of Commodities, Motilal Oswal, said the product caters to the needs of customers such as getting pure gold at the convenience of buying from home in the quantity they require.
“Given the Indian consumers appetite for gold, we are expecting to sell about 1-1.5 tonnes in the first year of operations,” he said.
Arjun Raychaudhuri, Chairman and Managing Director, MMTC-PAMP, said the tie-up is a vital step in giving every Indian access to buying high quality pure gold in a convenient and transparent manner.
Mobile wallet company Paytm has a similar tie-up with MMTC-PAMP to sell gold through its online platform.