look news india
Gold ETFs: Gold prices have been highly volatile in the precious metal market for the last one month. After reaching an all-time high domestically and internationally, prices have fallen. The prices saw a surge due to continuous gold purchases by central banks of various countries and geopolitical crises. Investment in gold ETFs has increased globally after the rise in prices.
A total of 17 gold ETFs in the country during May have registered an investment of Rs. 827.43 crore. Last year, a total of 13 gold ETFs had a net investment of Rs. 103.12 crore. A total of Rs. 2459.78 crore net investment has been registered in the first five months of 2024. According to AMFI data, during April-24, gold ETFs saw an investment of Rs. 395.69 crore in May after selling.
Brakes applied on the selling of Gold ETFs globally
According to a recent report by the World Gold Council, investment in gold ETFs increased in May after 12 consecutive months of global sell-off. Investment in gold ETFs increased by $0.5 billion (8.2 tonnes of gold) globally during May-2024. Earlier, an investment of $1.7 billion (19.3 tonnes of gold) was made in May-2023.
Gold ETF investment flows globally
Investment in gold ETFs increased by $1.9 billion (32.1 tonnes) and $0.8 billion (15.4 tonnes) during March and April 2023. Whereas investment in gold ETFs declined for 11 consecutive months from April-2022 to February-2023. $2.2 billion (33.2 tonnes) were withdrawn in April-24.
What is Gold ETF?
Gold ETFs are as valuable as physical gold, but in electronic form. The aim of Gold ETFs (Exchange-Traded Funds) is to provide investors with returns equal to the prices of physical gold. In which gold is calculated in units. 1 unit = 1 gram. That is, you can buy a minimum of 1 gram of gold under Gold ETF.
