What explains high investor interest in gold ETFs?
Aug 13, 04:08

Gold ETFs have become one of the preferred modes for retail investors for investing in gold. AMFI data shows the total number of folios/accounts held by retail investors in gold ETFs grew by 201% to 17.8 lakh on June 30, 2021, as against 5.9 lakh accounts in the same period last year. Their investment in gold ETFs too grew by 48% to Rs 2,051 crore in the past year. The safe-haven appeal of gold during economic uncertainties as one saw in 2019-20 explains the interest of investors. Retail investors particularly prefer gold fund of funds (which in turn invest in gold ETFs) because they enable SIP facilities with investments of as little as Rs 500 a month.

Gold MF