Multiple ways:
a. Buy Gold ETF
a. Best from Investment Perspective;
b. You don't have to worry about storage & purity/impurity issues;
c. In electronic dematerialized form; Can't touch & feel it L
d. You've to bear brokerage & STT. This will come to about 1% on buying and selling if you've ICICI Direct account.
b. Buy Gold Coins
a. Best if you want to keep them for your daughter's wedding J
b. Buy from Alukas or other jewelers or Reliance Money. Check the Assay certification.
c. You've to deal with the pricing discrepancies e.g. very few Jeweler will sell you for Gold spot price displayed on CNBC-18. Formula I use for computing is : CNBC-18 Price + 1% and additional INR 500 for assay certification & other overheads.
d. Never buy from your bank especially ICICI. Their gold price is way above CNBC-18 spot price.
c. Buy Gold Jewelry
a. Never buy for investment. Buy it for your wifeJ
