Tata Mutual Fund launches Gold and Silver ETFs
Tata Mutual Fund has launched gold and silver ETFs - Tata Gold Exchange Traded Fund and Tata Silver Exchange Traded Fund and their FoFs - Tata Gold ETF Fund of Fund and Tata Silver ETF Fund of Fund.
NFO Details
Tata Gold ETF: This fund will replicate returns corresponding to the domestic price of gold. NFO is available from January 2 to January 9, 2024.
Tata Gold ETF Fund of Fund: This fund attempts to generate returns corresponding to Tata Gold Exchange Traded Fund. NFO runs from January 2 to January 16, 2024.
Tata Silver ETF: The fund tracks the domestic price of silver. NFO runs from January 2 to January 9, 2024.
Tata Silver ETF Fund of Fund: The scheme generates returns corresponding to returns of Tata Silver Exchange Traded Fund. NFO is open from January 2 to January 16, 2024.
Investors can participate with a minimum investment ranging from Rs. 100 in ETFs to Rs. 5,000 in ETF FoFs during the NFO period, with options for subsequent investments in multiples of Rs. 1. The exit load is nil in ETFs. In FoFs if Redemption or any switch of more than 12% of inverted amount is done within one year, 1% exit load is applicable.
The year 2023 saw an increase in the number of Gold ETF schemes from 11 to 13, with a total of 48,33,807 Gold ETF folios by the end of 2023 October. While the funds mobilised remained relatively stable throughout the year, notable spikes were observed in 2023 July, August, and October.
Mr. Anand Vardarajan, Business Head - Institutional Clients, Banking, Alternate investments and Product strategy, Tata Mutual Fund said, "When you do not know the risk, diversify. When you know the risk, hedge it. Precious metals like gold and silver help investors in hedging their risk and diversifying their portfolios. It offers the ability to hedge against inflation and currency fluctuation and at the same time, being differently co-related, it helps in providing hiding space when equity and debt markets turn volatile.
If most of the gold is above the ground and only less is to be unearthed, then this becomes a great asset class to be owned. Limited supply coupled with rising demand for gold makes a great case to have it in one's portfolio."
The NFOs of gold and silver ETFs / FoFs open on 2024 January 2 and while ETFs close on 2024 January 9, the NFO of FoFs close on 2024 January 16.
For more details and Investing
Mr. K. Kirubakaran,
AMFI Registered Mutual Fund Distributor
Vadapalani,
Chennai
Mob : 73050 68154
Email : moneykriya@gmail.com
Web Site: www.moneykriya.com
No comments:
Post a Comment