Mumbai, Nov 11 (NationPress) Gold exchange-traded funds (ETFs) have continued to draw significant investor interest throughout October, showcasing net inflows of Rs 7,743 crore, as per the data released by the Association of Mutual Funds in India (AMFI) on Tuesday.

With a cumulative net inflow of Rs 27,573 crore in 2025, gold ETFs have emerged as one of the most robust segments in the passive investment space. This trend underscores their increasing importance in enhancing portfolio stability and mitigating risks, according to Nehal Meshram, Senior Analyst – Manager Research at Morningstar Investment Research India.

The ongoing interest from investors highlights a persistent preference for gold as a safe-haven asset and effective portfolio diversifier amidst ongoing geopolitical tensions, fluctuations in global markets, and uncertainties regarding the interest rate policies of major central banks.

Meshram noted that, despite global gold prices remaining relatively stable throughout the month, domestic investors continued to allocate funds, viewing gold as a viable hedge against inflation and currency volatility.

These consistent inflows suggest that investors are strategically utilizing gold to preserve wealth and diversify their portfolios, particularly as global bond yields stay elevated and equity markets experience volatility.

Suranjana Borthakur, Head of Distribution and Strategic Alliances at Mirae Asset Investment Managers (India), indicated that gold ETFs have been witnessing robust inflows of approximately Rs 7,000–Rs 8,000 crore in recent months. Investors remain committed to this safe-haven asset, drawn by the favorable returns seen in this category over the past year.

Other ETFs have also been experiencing healthy inflows in recent months, potentially signaling increased interest and participation in this investment space, according to Borthakur.

India's gold ETFs achieved a historic milestone, reaching $3.05 billion in 2025, marking the highest inflow for a single year, based on the latest data from the World Gold Council (WGC). The positive momentum continued for the fifth consecutive month, pushing assets under management (AUM) to $11.3 billion.

Globally, gold ETF inflows totaled $8.2 billion in October, putting the bullion market on track for one of its best-performing years ever.

India ranked third worldwide in ETF inflows during October, following the US with $6.33 billion and China with $4.51 billion. Japan trailed India with $499.5 million in inflows, while France reported $312 million.