Gold ETFs see record inflows of Rs 14,852 crore in FY25 amid global uncertainty: AMFI data

IANS April 11, 2025 168 views

Gold Exchange Traded Funds have experienced an unprecedented surge in investments during fiscal year 2025, attracting nearly three times more capital compared to the previous year. The massive inflow of Rs 14,852 crore reflects growing investor confidence in gold as a reliable asset during uncertain economic times. Global factors like persistent inflation and geopolitical tensions have further strengthened gold's appeal as a portfolio diversifier. The trend indicates a strategic shift among investors seeking stable and secure investment options in a volatile market landscape.

"Gold remains a trusted hedge against market volatility and macroeconomic risks" - AMFI Report
New Delhi, April 11: Gold Exchange Traded Funds (ETFs) attracted massive investments in FY 2025, with net inflows of Rs 14,852 crore -- nearly three times higher than the Rs 5,248 crore recorded in FY 2024, according to the data released by the Association of Mutual Funds in India (AMFI) on Friday.

Key Points

1

Gold ETF inflows triple compared to previous fiscal year

2

Investors seek safety amid global economic uncertainty

3

Mutual fund industry shows robust growth in March 2025

4

SIP accounts cross 8.11 crore milestone

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 Rs 65.74 lakh crore, up from Rs 64.53 lakh crore in February.

The average AUM (AAUM) for March was Rs 66.70 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 Rs 38.83 lakh crore, up from Rs 36.44 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 Rs 25,082 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 Rs 25,925 crore to the mutual fund industry. The SIP AUM reached Rs 13.35 lakh crore by the end of the month.

In addition, 30 new open-ended schemes were launched in March across various categories, collectively raising Rs 4,085 crore, the AMFI said.

Reader Comments

R
Rahul K.
Not surprised by these numbers at all! With everything going on globally, gold is the safest bet right now. I shifted 15% of my portfolio to Gold ETFs last quarter and it's already giving better returns than my equity funds. Smart move by Indian investors 👏
P
Priya M.
Interesting data, but I wonder if this gold rush is sustainable? The article mentions equity funds are still getting strong inflows too. Seems like investors are diversifying rather than abandoning other assets completely. What do others think?
A
Ankit S.
Gold ETFs are great but don't forget about the expense ratios! Some funds charge up to 1% which can eat into your returns over time. Always compare before investing 🧐
N
Neha P.
The SIP numbers are impressive too! 8.11 crore active accounts is massive. Shows how financial awareness is growing in India. Gold + SIPs = perfect combo for uncertain times 💪
S
Sanjay T.
While the gold ETF growth is remarkable, I think the article could have provided more context about how this compares to physical gold investments. Many Indians still prefer buying jewelry or coins over ETFs.
M
Meera R.
Started my first Gold SIP last month after reading similar reports! The convenience of ETFs vs physical gold storage is a game-changer. No more worrying about locker fees or purity certificates 😅

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

Leave a Comment

Your email won't be published

Tags:
Gold ETFs Mutual Funds Indian Investments AMFI Economic Uncertainty Safe Haven Assets
You May Like!