Invesco India Gold ETF

About Invesco India GOLD ETF

• The Invesco India Gold ETF is an exchange-traded fund that focuses on investing in gold.
• The ETF is managed by an Invesco Mutual Fund House.
• The Invesco India Gold ETF was launched on March 12, 2010.
• The assets under management of the ETF stood at ₹113.61 crore as of July 31, 2024.
• Herin Shah is the fund manager of the Invesco India Gold ETF.
• The risk level profile of Invesco India Gold ETF is high.
• The ETF is traded on both stock exchanges like a stock, which provides liquidity and flexibility for investors.
• The ETF units can be bought and sold during market hours at prevailing market prices through a demat account.

Investment Objective & Benchmark

• The Invesco India Gold ETF aims to closely mirror the performance of physical gold in the domestic market.
• The Invesco India Gold ETF is designed to provide exposure to gold without the need to buy and store it physically.
• This ETF tracks the daily spot price of gold in the domestic market, as it is a benchmarked index and reflects the current trading value of gold. Its performance is designed to align with the fluctuations in gold prices as determined by daily spot-fixing.
• For those looking to benefit from gold’s long-term performance, the Invesco India Gold ETF offers a convenient alternative to investment in physical gold. Investors can trade the ETF on stock exchanges, which provides liquidity and ease of access.
• A key advantage of investing in this gold ETF is the diversification it brings to your investment portfolio. Gold often moves differently from other asset classes like stocks and bonds, potentially adding stability and balance to your overall investment strategy.
• Although the ETF's performance is closely linked to gold prices, it is still affected by market fluctuations and fund-related expenses.
• Gold is commonly used as a hedge against inflation and economic uncertainty. The Invesco India Gold ETF seeks to provide these protective benefits by closely following the performance of gold.
• The risk factor level of the ETF is high.

Asset allocation & portfolio composition

• The fund allocation of the ETF consists of 98.81% in gold and 1.19% in cash and cash assets.
• The top holding of ETF majorly consists of gold around 98.81%.
• Since its inception, the Invesco India Gold ETF has given an annualised return of 9.41% to its investors.
• In the last one year, the ETF has given a return of 15.94% against benchmark returns of 16.81%.