Restrictions on Gold ETF Investments

HDFC Mutual Fund has temporarily imposed restrictions on large investments in Gold Exchange Traded Funds (ETFs). The fund house has also extended these limits to investments in Gold ETF Fund of Funds (FoF), citing prevailing financial and market conditions. This move comes amid increasing inflows and volatility in gold-linked investment products.

With this decision, HDFC Mutual Fund has become the first fund house to introduce curbs on gold ETF investments. The step is aimed at maintaining stability and managing liquidity risks within the fund, ensuring that investor interests remain protected during uncertain market conditions.