India expands gold ETF investment

India launched its first gold ETF in 2007, laying down a milestone for economic and financial development. The country’s Benchmark Asset Management Company of Mumbai listed the BeES ETF on the National Stock Exchange in anticipation of tapping into the country’s young and digitally-savvy population. The ETF, now called Nippon India ETF Gold BeES, initially struggled against the long-held preference for holding physical gold. But amid the uncertainty of the COVID-19 pandemic last year, the fund added 35,000 new investors in just six weeks — a 17% increase. Today, there are 11 listed gold-backed ETFs in India, which collectively hold 34.2 tonnes of gold, equivalent to US$2.1bn.

Learn more from the Business Standard and Goldhub.