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- Gold ETF Inflows Drop 78% In February 2026 To ₹5,255 Cr After January Record ₹24,040 Cr | AMFI Data
New Delhi36 minutes ago
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Investor interest in Gold Exchange Traded Funds (Gold ETFs) has decreased in the month of February. According to the latest data from the Association of Mutual Funds in India (AMFI), there has been an investment of about Rs 5,255 crore in gold ETFs in February 2026.
This is much less than January. A record investment of Rs 24,039.96 crore was seen in Gold ETFs in January. Experts believe that after heavy buying in January, investors have taken a break in February. This is not a decline in investment, but a ‘normalization’ process.
Record was made in January, gold came close to equity
A huge jump was seen in gold ETFs in the beginning of the year i.e. in January. During that time, investment in gold had almost reached the level of equity mutual funds (stock market based funds).
Due to ongoing geopolitical tensions around the world and stock market fluctuations, investors had chosen gold as a safe haven. Market experts are considering the decline in February as a natural pause.
A total of ₹13,879 crore was invested in passive funds.
- Total investment in the passive category (which includes index funds, gold ETFs and other ETFs) declined to Rs 13,879 crore in February.
- In January this figure was at a record level of Rs 39,954 crore, while in December it was Rs 11,000 crore.
- That is, if we look at the trend of the last three months, January was an exception, where investment had increased a lot.
Condition of index funds and foreign funds
- Index Funds: Investors maintained confidence in this category. Investments worth ₹3,233 crore came into index funds in February.
- Other ETFs: Apart from gold, inflows of about ₹4,487 crore were recorded in other ETF categories.
- Foreign Fund of Funds (FoF): Investments worth ₹904 crore have also come in Indian funds investing abroad.
Why did investors reduce investment?
According to market experts, the main reason for less investment in February could be stability or minor changes in gold prices. When prices rise too high or investors have already bought large amounts of gold, they wait for the right opportunity to make new purchases. Apart from this, the recovery in some selected sectors in the stock market has also diverted the attention of investors from gold back to equities.
What is Gold ETF?
Exchange traded funds are based on the rising and falling prices of gold. One gold ETF unit means 1 gram of gold. That too completely pure. Gold ETFs can be bought and sold on BSE and NSE like shares. However, you do not get gold in this. Whenever you want to exit from it, you will get money equal to the price of gold at that time.
5 benefits of investing in gold ETF
You can buy gold even in small quantities: Through ETF, gold is bought in units, where one unit is of one gram. This makes it easier to buy gold in small quantities or through SIP (Systematic Investment Plan). Whereas physical gold is usually sold at the price of tola (10 grams). Many times it is not possible to buy gold in small quantities when buying from a jeweler.
Get pure gold: The pricing of Gold ETFs is transparent and uniform. It follows the London Bullion Market Association, the global authority on precious metals. Different sellers/jewelers can offer physical gold at different prices. Gold purchased through Gold ETFs is guaranteed to have 99.5% purity, which is the highest level of purity. The price of the gold you buy will be based on its purity.
The cost of jewelery making is not covered: There is a brokerage of 1% or less for buying gold ETFs, plus a 1% annual charge for managing the portfolio. This is nothing compared to the 8 to 30% making charges that jewelers and banks have to pay, even if you buy coins or bars.
Gold remains safe: Electronic gold is held in a demat account, in which only annual demat charges have to be paid. Also there is no fear of theft. Apart from the danger of theft in physical gold, one also has to spend on its security.
Ease of Doing Business: Gold ETFs can be bought and sold instantly without any hassle. Gold ETF can also be used as security for taking loan.
How can one invest in it?
To buy gold ETF, you have 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 are deposited into your account two days after the order is placed in your demat account. Gold ETF is sold through trading account only.
Limited investment in gold is beneficial
According to experts, even if you like to invest in gold, you should still make limited investments in it. Only 10 to 15% of the total portfolio should be invested in gold. Investing in gold can provide stability to your portfolio during a crisis, but in the long run it can reduce your portfolio returns.
Read this news also…
Silver today increased by ₹ 13 thousand to reach ₹ 2.73 lakh: Gold increased by ₹ 1700 to ₹ 1.60 lakh, this year the price increased by ₹ 27 thousand
There is an increase in the prices of gold and silver today i.e. on March 10. According to India Bullion and Jewelers Association (IBJA), 10 grams of 24 carat gold has increased by Rs 1,700 to Rs 1.60 lakh. Earlier its price was Rs 1.59 lakh per 10 grams. One kg of silver has increased by Rs 13 thousand to Rs 2.73 lakh. Earlier its price was Rs 2.60 lakh per kg.
According to experts, on January 29, the price of gold had reached an all-time high of Rs 1.76 lakh and the price of silver had reached an all-time high of Rs 3.86 lakh. Since then their prices have declined significantly. That’s why their purchases are being seen. Read the full news…
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