Mutual Funds Halt Fresh Gold FoF Investments as Inflows Surge
What Happened
Around 17 mutual fund houses have temporarily stopped fresh investments in gold ETF fund-of-funds, including new lump-sum purchases, switch-ins and new SIP or STP registrations. Existing systematic investments and redemptions can continue, while gold ETFs remain available for direct investment. The restrictions took effect across affected schemes on October 15 and 16.
Key Takeaways
The restrictions follow a sharp rise in gold investment. AMFI data shows gold ETFs received ₹4,450.61 crore in September, up 71.4% from ₹2,596.70 crore in August and the highest monthly inflow since January 2026.