NSEL posts 4-fold surge in e-gold turnover

Commodity bourse National Spot Exchange (NSEL) today said its average monthly turnover of 'e-gold' jumped four-fold to Rs 3,082.60 crore in the first four months of this fiscal compared to same period last year.

Average monthly turnover of e-gold was Rs 436.89 crore in the corresponding period of last fiscal, NSEL Managing Director and CEO Anjani Sinha said.

In the first eight months of the current calendar year, turnover of e-gold rose by 60% from Rs 2,377 crore in January 2011 to Rs 3,823.63 crore in August, he said.

The electronic commodity spot exchange also recorded the highest daily turnover of Rs 359.67 crore in 2011 in e-gold on August 16, and a record delivery of 1,29,967 units on August 11, 2011, Sinha stated.

NSEL launched e-series products, starting with gold, in March 2010, to meet the growing demand among retail investors to invest part of their savings in commodities, he said.

The exchange added e-silver in April, copper in November and e-zinc in January 2011.

The ongoing bull run in gold is further boosting demand for e-gold, which has become a preferred investment avenue for retail investors because of the ease and security it offers.

In addition, it has given better returns than other investment products in the yellow metal, Sinha said.

Since its launch, e-gold has given a return of 57.58%, which is the highest compared to all other forms of investments in the precious metal, he added.