Gold exchange-traded funds (ETFs) continued losing sheen as an investment class as investors pulled out over Rs300 crore from the instrument in April-August of the current fiscal year, preferring equities over them.
Trading in gold ETF segment has been tepid during the last four financial years. It has witnessed outflows of Rs775 crore in 2016-17, Rs903 crore in 2015-16, Rs1,475 crore in 2014-15 and Rs2,293 crore in 2013-14. On the other hand, equity and equity-linked saving scheme (ELSS) saw an infusion of more than Rs61,000 crore during the first five months (April-August) of the current financial year. This included an investment of over Rs20,000 crore in last month alone. Stock markets have been on an upswing, touching new highs this year.
