Gold ETF flows turn positive at
Rs 430cr in Dec
09
January 2021
Correction
in gold prices resulted in gold ETF flows turning positive in December with
inflows of Rs 430 crore, after recording an outflow of Rs 141 crore in
November, 2020. “This is due to two reasons — gold has continued to be seen as
a safe haven and spike seen in gold rate in the month of December, after a
slowdown in the past month,” says N S Venkatesh, chief executive, AMFI. Lakshmi
Iyer, president & CIO (debt & head of products), Kotak Mahindra Asset
Management Company, said, “After net sales turned negative in the month of
November, we have seen investments in gold ETF resume positive march in
December. Typically, demand elasticity in gold is quite high (low prices mean
more demand and vice-versa). Besides, Rupee appreciation in the near term acted
as a dampener on gold prices which aided in demand pickup.” Redemption or
repurchase of funds fell lowest for the year at Rs 24 crore in December, as
compared to Rs 616 crore reported in the previous month. Net Assets Under
Management as on December 31, 2020, stands at Rs 14,173 crore. And the total
number of gold ETF portfolios stand at 8.87 lakh.
Source:
https://timesofindia.indiatimes.com/busi
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