The category's net assets under management at the end of March stood at Rs 19,280 crore
In the past one month, silver funds have returned 7.34%, gold funds on an average are up by about 6%. In comparison, Nifty is down 4%
The global recovery and improved investor sentiment resulted in gold ETF flows sobering down in 2021 compared to the pandemic year.
Gold ETFs continue to attract investor attention and have garnered net assets worth Rs 683 crore in November
Amid a global surge in inflation and rising crude oil prices, markets expect central banks to hike interest rates sooner than expected
Gold exchange-traded funds (ETFs) continue to attract investor attention as they garnered net assets worth Rs 303 crore in October due to festive season demand. This was, however, lower than the net inflow of Rs 446 crore seen in September. Before this, the segment saw a net inflow of Rs 24 crore in the previous month, data with Association of Mutual Funds in India (Amfi) showed. "Gold ETFs saw a faithful inflow during October too of about Rs 303 crore. As expected, the festivities kept the asset class in demand. Gold sale level this Dhanteras at 50 tonnes was almost 20 tonnes more than the 2019 Dhanteras," Priti Rathi Gupta, founder, LXME, said. Investors might have chosen to buy physical gold given October is a festive month, Himanshu Srivastava, Associate Director Manager Research, Morningstar India, said. "The lower quantum of net inflow in October compared to the previous month could be attributed to the surge in gold prices in October that could have held investors back from
With this, gold ETF category has received a net inflow of Rs 3,515 crore so far. The segment witnessed just one month of net outflows, which was in July.
It can act as hedge against high inflation or slowdown
The data from Association of Mutual Funds in India (Amfi) shows that gold ETFs saw net inflows of Rs 446 crore in September
Sebi has approved guidelines for setting up of spot gold exchanges. Let us take a look at how the exchange would work and how it compares with other gold instruments
But those seeking greater safety should stick to SGBs or gold ETFs
After witnessing net outflow in July, gold exchange-traded funds (ETFs) attracted Rs 24 crore in August on a positive global outlook, reflecting an improving sentiment towards the yellow metal.
Gold-backed exchange traded funds (ETF) experienced net outflows in August of 22.4 tonnes, as North American outflows outweighed inflows into European and Asian funds, the World Gold Council said
Gold exchange traded funds witnessed a pullout of over Rs 61 crore in July as investors diverted their money to equity and debt funds that generated attractive returns.
Investors to shift money to other asset classes as prices of the yellow metal weaken
Gold exchange-traded funds (ETFs) attracted Rs 1,328 crore from investors in the quarter ended June 2021 and experts believe that inflows will continue in the coming months of the fiscal. In comparison, inflow in the category was much higher at Rs 2,040 crore in the same quarter last year, according to data available with Association of Mutual Funds in India (Amfi). Quantum Mutual Fund Sr Fund Manager, Alternative Investment, Chirag Mehta said that inflows in gold ETFs were significant in the June quarter last year on account of significant economic uncertainty due to the COVID-19 pandemic. This year given the optimism surrounding economic recovery, inflows have slowed a bit. "The higher net inflows in gold ETFs last year could be attributed to the onset of the pandemic which created massive uncertainties about asset prices and inflation, driving many investors to turn to gold ETFs," Arshad Fahoum, Chief Product Officer at Market Pulse, said. Making similar views, Divam Sharma, ...
A report by World Gold Council (WGC) said that inflows into North American and Asian funds were primarily offset by outflows from European funds.
Net inflow was at Rs 288 crore
May saw gross redemptions of Rs 105 crore, compared to less than Rs 6 crore in the preceding month
Investors seeking to benefit from this uptrend need to understand the pros and cons of the various investment options available to them