Gold ETFs see sixfold surge in inflows amid global uncertainty

ByEnigma 808

Gold ETFs saw a significant rise in inflows in September 2025, increasing by 578.28% to Rs 8,363.13 crore, compared to Rs 1,232.99 crore last year. This surge was driven by geopolitical tensions, central bank purchases, and expectations of US interest rate cuts.

Net assets under management (AUM) for Gold ETFs reached Rs 90,135.98 crore, nearly doubling from Rs 39,823.50 crore a year ago. The demand for gold ETFs has been rising due to their liquidity, transparency, and cost-effectiveness compared to physical gold. Experts predict that gold prices will remain firm during the festive season and beyond.

Gold ETFs also offer benefits like portfolio diversification and inflation protection. With 22 ETFs currently available, they have reported strong returns, with the top funds showing a five-year CAGR of 16.95% to 17.23%.

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    Besides writing and being a content creator, Enigma 808 sometimes likes to watch paint dry on walls, listening to ASMR while timing snails racing. Such is life.