Investment in the best Gold ETF has witnessed a surge in recent times. Due to a sudden spike in gold prices, investors are choosing gold as the most favored investment tool. The lockdown scenario has further prompted people to opt for gold in paper or dematerialized form i.e. Gold ETF. Though there are other instruments also to invest in gold, the gold ETF has proved to be the most convenient and trusted instrument for gold investment.
Gold ETF was first launched in India in 2007. Today, there are 13 Gold ETF listed companies for trading gold funds.
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5 Best Gold ETF based on their AUM
Nippon Gold ETF
Nippon gold ETF is listed on stock exchanges and can be traded like any other commodity on the stock market. With an AUM of 2290.17 cr Nippon gold ETF is one of the best gold ETF company in India. The company offers a handsome rate of returns and has an impressive performance graph.
SBI Gold ETF
At 2nd position, we have SBI Gold ETF with 626.71 crores of AUM. The scheme tracks the price of gold with more than 99% purity. This scheme aims at providing its investors with the profit corresponding to the value of physical gold. The company has shown a steady pace of growth and inspires confidence among its investors.
HDFC Gold ETF
HDFC Gold ETF is one of the best gold ETF schemes based on fluctuating prices of gold. It is an open-ended instrument thus catering to the convenience of investors. With the AUM of 615.09 crores, HDFC Gold ETF stands at 3rd position in the list.
UTI Gold ETF
The next company on the list is the UTI Gold ETF. The company has 596.95 crores Asset Under Management by the month-end. The UTI Gold ETF has no exit load thus relieving the investors of extra expenses. The fund has a high ROI and tracks the real-time gold price. The fund has a good performance graph with an impressive performance history.
Kotak Gold ETF
At 355.08 crores, Kotak Gold ETF occupies 5th position on the list. The company is listed on the stock exchange and the fund can be traded in Demat form. Units of the scheme are backed by physical gold held by the custodian (Scotia Macotta). All gold held by Scotia Macotta confirms to the London Bullion Market Association (LBMA) rules of good delivery.
Trading in funds on the stock exchange is a tricky game. Choosing the right platform is the key to the best investment. One must tread cautiously while investing.