Reliance Money, a subsidiary of Anil Ambani-led Reliance Group, on Thursday announced the launch of a new daily gold accumulation plan called Reliance My Gold Plan.

Under the Reliance My Gold plan, customers can invest a minimum of Rs 1,000 per month, and the company would buy gold for the customer on daily basis. At the end of the investment tenure, customers will be able to ask the company to redeem the total accumulated funds for gold coins or jewellery.

With the plan, which has been launched in partnership with the World Gold Council (WGC), Reliance is targeting an estimated Rs 2 lakh crore gold market of India.

Vikrant Gugnani, chief executive of Reliance Capital's Broking & Distribution Business, said, "Gold worth about R2 lakh crore is sold every year in the country through unorganised market and we are taking on that market with this plan."

On each subscription, the customers would be levied an administration charge of 1.5 per cent. In addition, there would be a 2.5 per cent pre-maturity charge.

At the moment Reliance Money is the only player to take on the massive potential in the Indian gold market through an organised plan. But, the company admits that it would see competitors in the market in future.

According to the WGC, Indian customers purchased 986 tonnes of gold, valued at around Rs 3.2 lakh crore at current rate, in 2011.