Gold ETFs Shine Bright: India Draws $850 Million Inflows in October

Indian investors continued their love affair with gold in October 2025, as the country’s gold exchange-traded funds (ETFs) attracted a massive $850 million (around ₹7,800 crore) in fresh inflows — the second-highest in Asia for the month. With this, India’s year-to-date inflows have surpassed $3 billion, taking the total assets under management (AUM) in gold ETFs to nearly $11.3 billion. The surge reflects a clear shift in investor sentiment toward safer assets amid global uncertainties. Rising geopolitical tensions, inflation concerns, and volatile equity markets have boosted gold’s appeal as a reliable hedge. Moreover, the convenience and transparency of ETFs are drawing investors away from physical gold. Among the most popular schemes, Nippon India ETF Gold BeES, HDFC Gold ETF, and SBI Gold ETF continue to dominate in terms of liquidity and investor participation. These funds benefit from large AUMs, low tracking errors, and easy tradability — factors that make them the preferred choice for both retail and institutional investors. While October’s inflows were slightly lower than September’s record, the sustained momentum highlights a broader trend — Indian households are gradually moving toward regulated, paper-based gold investments. If market volatility and inflation pressures persist, gold ETFs could remain a shining spot in the investment landscape through the year-end.