Gold Exchange Traded Funds (ETFs) in India witnessed a significant decline in inflows during February, dropping by 47.22% to Rs 1,979 crore, despite the surge in gold prices to record highs. This decrease can be attributed to investors seizing profit-taking opportunities in the gold market and shifting focus towards equity investments. Nevertheless, there was a remarkable 99% increase in inflows compared to the previous year. UTI Gold ETF emerged as the frontrunner in terms of returns, delivering 3.70% gains during the period. Gold continues to serve as a crucial component for portfolio diversification, especially in times of global economic uncertainty. The Assets Under Management (AUM) for gold ETFs in India saw a growth of 7%, reaching Rs 55,677 crore. This data highlights the ongoing investor interest in gold ETFs as a reliable investment option in the Indian market.
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Gold ETFs see 47.22% drop in inflows despite high prices; UTI Gold ETF leads with 3.70% returns.
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