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Gold ETFs Surge 3x To Rs 14,852 Cr In FY25

It’s due to rising investor preference for safe-haven assets amid global economic uncertainty: Amfi

Gold ETFs Surge 3x To Rs 14,852 Cr In FY25

Gold ETFs Surge 3x To Rs 14,852 Cr In FY25
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15 April 2025 7:20 AM IST

According to the AMFI, the rally in international gold prices and the weakening of major global currencies against the US dollar further strengthened the appeal of gold as a portfolio diversifier during the financial year

New Delhi: Gold Exchange Traded Funds (ETFs) attracted massive investments in FY2025, with net inflows of Rs14,852 crore -- nearly three times higher than the Rs5,248 crore recorded in FY 2024, according to the data released by the Association of Mutual Funds in India (AMFI).

The sharp surge in inflows reflects rising investor preference for safe-haven assets amid global economic uncertainty, persistent inflation, and escalating geopolitical tensions. According to the AMFI, the rally in international gold prices and the weakening of major global currencies against the US dollar further strengthened the appeal of gold as a portfolio diversifier during the financial year.

The overall trend for FY25 shows that gold remains a trusted hedge against market volatility and macroeconomic risks. With uncertainty still looming over the global economy, experts believe Gold ETFs will continue to be an important part of diversified investment portfolios.

Meanwhile, the mutual fund industry as a whole showed strong performance in March 2025. The total net Assets Under Management (AUM) stood at Rs65.74 lakh crore, up from Rs64.53 lakh crore in February.

The average AUM (AAUM) for March was Rs66.70 lakh crore. Retail participation in mutual funds also grew steadily, with the number of folios touching 23.45 crore in March. Out of this, retail investors in equity, hybrid, and solution-oriented schemes accounted for over 18.58 crore folios.

Retail AUM in these segments rose to Rs38.83 lakh crore, up from Rs36.44 lakh crore in February. March 2025 also marked the 49th straight month of positive equity inflows, a trend that began in March 2021. Equity-oriented schemes saw inflows of Rs25,082 crore in the month.

Systematic Investment Plans (SIPs) continued to gain traction, with over 40.18 lakh new SIPs registered in March. The total number of active SIP accounts stood at 8.11 crore, contributing Rs25,925 crore to the mutual fund industry. The SIP AUM reached Rs13.35 lakh crore by the end of the month.

In addition, 30 new open-ended schemes were launched in March across various categories, collectively raising Rs4,085 crore, the AMFI said.

Gold ETFs investment inflows mutual funds portfolio diversifier market volatility 
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