Golden Opportunities
Outlook Money|September 2020
Gold ETF continues to gain traction, recording a massive net inflow of ₹921.19 cr in July against just ₹494.23 cr in June
Himali Patel
Golden Opportunities

Consider this, despite a dwindling global demand, gold-backed Exchange Traded Funds (ETFs) broke all records, emerging as a safe haven during crisis.

For the month of July 2020, the Indian Gold ETFs recorded a massive net inflow of ₹921.19 crore against the ₹494.23 crore in June, registering a stellar growth of 86 per cent shows the data by Association of Mutual Funds in India (AMFI). This year so far, Gold ETF category has received a net inflow of ₹4,451.9 crore. (See the table: Gold ETF)

The World Gold Council (WGC), in its July report had stated that the first half (H1) of world gold demand was down by 6 per cent at 2,076 tonnes (t). Interestingly despite the global demand being down, the inflows into Gold ETFs recorded a breaking 734t. indicating the H1 inflows have even surpassed the 2009 annual record of 646t.

So, what factors led to this trend where massive inflow in Gold ETF in mutual fund category was seen, given the low demand for gold? And will Gold ETF continue to grow? Let’s take a look:

A Gold ETF is a commodity-based Mutual Fund (MF) that mainly tracks the price of asset like physical domestic gold. Gold ETF units represent the physical gold in dematerialised paper form. In India, Gold ETF represents 99.5 per cent purity assurance of physical gold bars. The capital gains from sale of Gold ETFs are taxed at par with physical gold at 20 per cent.

Diese Geschichte stammt aus der September 2020-Ausgabe von Outlook Money.

Starten Sie Ihre 7-tägige kostenlose Testversion von Magzter GOLD, um auf Tausende kuratierte Premium-Storys sowie über 8.000 Zeitschriften und Zeitungen zuzugreifen.

Diese Geschichte stammt aus der September 2020-Ausgabe von Outlook Money.

Starten Sie Ihre 7-tägige kostenlose Testversion von Magzter GOLD, um auf Tausende kuratierte Premium-Storys sowie über 8.000 Zeitschriften und Zeitungen zuzugreifen.

WEITERE ARTIKEL AUS OUTLOOK MONEYAlle anzeigen
Stay Ahead Of AI-Powered Cyber Fraud
Outlook Money

Stay Ahead Of AI-Powered Cyber Fraud

AI has become an integral part of our lives, right from customer service at banks to insurance claims. But it has now become a powerful arsenal for the fraudsters too who are increasingly using AI to scam individuals and corporations alike to commit fraud. The key is to stay vigilant

time-read
7 Minuten  |
December 2024
Travelling To Europe? Pack In The Essential Covers
Outlook Money

Travelling To Europe? Pack In The Essential Covers

Smart travellers must know that insurance is a must-have. From essential health coverage to theft protection and trip interruptions, know what you need for a worry-free Europe trip

time-read
6 Minuten  |
December 2024
How To Spend Wisely This Year-End
Outlook Money

How To Spend Wisely This Year-End

We all spend during the year-end. But the trick is not to overspend or borrow, either from friends, or your own investment, to fund your indulgence. Maintaining balance is the key

time-read
5 Minuten  |
December 2024
Travel Now Pay Later (TNPL)
Outlook Money

Travel Now Pay Later (TNPL)

Travel now, pay later (TNPL) is a close cousin of the more popular buy now, pay later (BNPL) schemes.

time-read
2 Minuten  |
December 2024
12 Books Devina Mehra Loved Reading In 2024
Outlook Money

12 Books Devina Mehra Loved Reading In 2024

Listing books of her choice, among the ones she reads during the year, is ace investor Devina Mehra's favourite year-end activity. She says it's a daunting task to pick around 12 books from a list of 50.

time-read
6 Minuten  |
December 2024
Here's How To Avail Of Ayushman Bharat Yojana
Outlook Money

Here's How To Avail Of Ayushman Bharat Yojana

Launched in 2018, the Ayushman Bharat Yojana aimed to provide health coverage to targeted benefi ciaries from the Socio-Economic Caste Census (SECC) 2011, based on deprivation and occupational criteria.

time-read
2 Minuten  |
December 2024
'Focus On The Business, Assess If You Want To Be A Partner For 10-20 Years'
Outlook Money

'Focus On The Business, Assess If You Want To Be A Partner For 10-20 Years'

Professor Sanjay Bakshi, a value investor, behavioural economist and adjunct professor at Flame University, Pune, gives his unique perspective on how to choose a stock, in an interview with Nidhi Sinha, editor, Outlook Money, as part of the Wealth Wizards series. He also shares his learnings from role models Warren Buffett, Charlie Munger, Benjamin Graham and others, and how being a chartered accountant, economist, investor and teacher make him into what he is today. Edited excerpts from the interview

time-read
10 Minuten  |
December 2024
The New Trump Card For IT, Pharma
Outlook Money

The New Trump Card For IT, Pharma

Donald Trump has been re-elected as the 47th President of the US after a gap of four years. Here's how it will affect the Indian markets and how it will benefit sectors such as IT, pharma, export-oriented sectors and others

time-read
8 Minuten  |
December 2024
European Sojourn
Outlook Money

European Sojourn

Tight on budget? Dump the popular European destinations for the little-known wonders that are equally attractive

time-read
10+ Minuten  |
December 2024
Gold ETFs And FoFs
Outlook Money

Gold ETFs And FoFs

While Indians love to invest in physical gold, even mutual funds offer the option, but in paper format.

time-read
2 Minuten  |
November 2024