Gold ETFs fall 4 per cent in a month ahead of Dhanteras
Domestic gold prices have dropped more than 20 per cent from their peak as investors approach the festive season.
Gold exchange-traded funds (ETFs) recorded losses of between 3.66 per cent and 4.53 per cent over the past month as of 4 November, according to a Mint report. The decline in these funds mirrors a broader correction in gold prices, which are currently hovering around ₹1,42,000 per 10 grams.
Domestic gold prices have fallen more than 20 per cent from a peak of nearly ₹1,80,000. Gaurav Arora, Head of Research at SAHI, said the drop in ETFs is a reflection of weaker bullion prices, as these funds track domestic rates.
Despite the recent volatility, gold ETF inflows reached approximately $39 billion through September 2026. Cumulative inflows between January and September stood at about ₹45,925 crore, which has already exceeded the total inflows recorded throughout 2025.
The assets under management (AUM) for gold ETFs grew from approximately ₹1,58,400 crore in April 2026 to ₹1,91,000 crore in October. Analysts estimated that domestic investors contributed net investments of around ₹3,300 crore in October.
Pankaj Mathpal, Founder and CEO of Optima Money, said the outlook for gold remains positive due to investment demand and expected declines in supply. However, he advised against large lump-sum investments, suggesting instead that investors accumulate gold in small quantities through ETFs to serve as a portfolio diversifier.