From The Economic Times · Rakshanda Sharma · · 1m
Gold ETFs Halted Ahead of Festive Season
Three Indian mutual funds pause new gold ETF investments as rupee weakens.
In brief
Three Indian mutual funds pause new gold ETF investments as rupee weakens. HDFC, ICICI Prudential and Tata Mutual Fund temporarily restrict fresh gold ETF FoF investments ahead of festive season due to rupee depreciation and rising gold imports. Originally reported by The Economic Times.
Mutual Funds Halt Gold ETF Investments
HDFC Mutual Fund, ICICI Prudential and Tata Mutual Fund restricted fresh investments in gold fund-of-funds ahead of festive season.
Investor Restrictions Apply
Investors can redeem existing investments but new lump-sum, switch-ins, top-ups and sip/stp registrations are temporarily restricted.
Festive Season Timing
Tata Mutual Fund temporarily restricts fresh and additional lump-sum investments from October 16.
IBJA President Confirms
IBJA president Surendra Mehta said restrictions avoid rush into gold FoFs during festive season.
Rupee Depreciation Impact
Rupee lost 7% this year as gold imports rose and foreign investors sold indian equities.
Gold Import Bill Pressure
India's gold import bill increased as rupee weakened and geopolitical tensions drove up commodity prices.
What to remember
HDFC, ICICI Prudential and Tata Mutual Fund temporarily restrict fresh gold ETF FoF investments ahead of festive season due to rupee depreciation and rising gold imports.
