Mumbai: The combined assets under management (AUM) of gold and silver exchange‑traded funds (ETFs) touched record highs, crossing Rs 3 lakh crore in January, according to the data from the Association of Mutual Funds in India (AMFI).
The surge marked a near‑threefold rise in five months from Rs 1 lakh crore in August 2025 driven by record investor inflows despite sharp price volatility.
The expansion was accompanied by a sharp rise in folios as gold ETF folios surged to 1.14 crore from 80.34 lakh, while silver ETF folios jumped to 47.85 lakh from 11.31 lakh over the same period.
January saw all-time high inflows, with gold ETFs recording inflows of Rs 24,039 crore and silver ETFs attracting Rs 9,463 crore, according to AMFI.
Those combined inflows exceeded equity fund inflows of Rs 24,029 crore for the month. In December, combined inflows into gold and silver ETFs stood at Rs 15,609 crore, compared with Rs 28,055 crore into equity funds.
Analysts said the shift reflected a temporary reallocation by investors toward defensive assets amid moderation in inflows to equity mutual fund inflows due to macroeconomic uncertainty.
They advised long‑term investors to maintain disciplined allocations to precious metals at around 10–15 per cent of a portfolio and do staggered investments through systematic plans rather than lump‑sum buys at elevated levels.
The AUM of open-ended equity-oriented schemes stood at Rs 34.86 lakh crore by January end, while open-ended debt-oriented schemes managed Rs 18.90 lakh crore.
Himanshu Srivastava, Principal Research, Morningstar Investment Research India, said that flows remained constructive despite bouts of market volatility, supported by steady SIP contributions and continued confidence in the long-term structural growth prospects of Indian equities.
The moderation in overall inflows was largely driven by cooling momentum in the mid and small-cap segments, he mentioned. Large-cap and focused funds also witnessed healthy traction in January, recording higher inflows compared with December.
(IANS)
