Gold ETF attracts over Rs 4800 crore investment in 2021
Gold Exchange Traded Fund (Gold ETF) is attaracting people amidst rising inflation and Corona pandemic. The result of this is that in the last year i.e. 2021, Gold ETF has got an investment of Rs 4,814 crore. According to the data of Association of Mutual Funds in India (AMFI). However, it is less than Rs 6,657 crore in 2020.
What is Gold ETF?
It is an open ended mutual fund, which is based on the fluctuating prices of gold. ETFs are very cost effective. One gold ETF unit means 1 gram of gold. That too completely pure. It gives the flexibility of investing in stocks as well as investing in gold. Gold ETFs can be bought and sold on BSE and NSE just like stocks. However, you do not get gold in this. When you want to exit from it, then you will get money equal to the price of gold at that time.
How can you invest in it?
To buy gold ETFs, you need to open a demat account through your broker. In this, you can buy units of Gold ETF available on NSE and the equivalent amount will be deducted from the bank account linked to your demat account. Gold ETFs get deposited in your account two days after placing the order in your demat account. Gold ETFs are sold through the trading account itself.
