Gold ETF Inflows Slow to Estimated ₹3,300 Crore in October as Fund Houses Restrict FoFs

Key Takeaways

• Gold exchange-traded funds received estimated net inflows of ₹3,300 crore in October 2026, compared with ₹4,450 crore in September.
• The estimated monthly inflow declined by ₹1,150 crore, or approximately 25.8%.
• Several asset management companies suspended fresh investments into gold fund-of-funds schemes during the second half of October.

Gold ETF Investments Moderate in October

Net investments into Indian gold exchange-traded funds (ETFs) are estimated to have fallen to approximately ₹3,300 crore in October 2026, following stronger inflows during the previous month.

September had recorded inflows of around ₹4,450 crore, the highest monthly level in seven months.

The latest estimates indicate a decline of ₹1,150 crore, equivalent to approximately 25.8% month on month.

The figures were derived from changes in assets under management and should be treated as preliminary estimates rather than final monthly industry flow statistics.

The slowdown coincided with restrictions on fresh subscriptions into gold fund-of-funds (FoF) schemes introduced by several asset management companies during the second half of October.

Gold FoF Subscription Restrictions Affect Investment Access

Gold ETFs and gold FoFs provide exposure to the domestic gold market through different investment structures.

A gold ETF generally holds gold or gold-related instruments in accordance with its investment mandate and is traded on a stock exchange.

A gold FoF, by comparison, primarily invests in units of an underlying gold ETF. Investors can ordinarily access the FoF without directly purchasing ETF units through a stock exchange.

Following regulatory directions, several fund houses suspended fresh subscriptions to their gold FoF products.

These restrictions affected access through the FoF route but did not automatically imply that all gold ETFs had stopped trading.

Investors could continue to encounter different transaction availability depending on the fund house, scheme and investment channel.

September and October Gold ETF Flow Comparison

The October estimate indicates that money continued flowing into gold ETFs despite the decline from September.

Why the Distinction Matters

Gold ETF flows and changes in gold ETF assets under management are not identical measures.

AUM is influenced by investor subscriptions, redemptions and changes in the value of the underlying assets.

Consequently, an inflow estimate calculated from AUM data may differ from subsequently published net subscription figures.

The October figures offer an early indication of changes in investment activity, while final industry statistics would provide a more complete picture of monthly fund flows.