Gold ETFs

A Gold ETF is an exchange-traded fund that tracks the price of physical gold. It allows investors to gain exposure to gold without buying, storing, or securing the metal themselves.

As on 1 Sept 2026 at 11:38

360 ONE Gold ETFGOLD360₹150.00+₹0.25 (0.17%)4,105+45.60%
Aditya Birla Sun Life Gold ETFBSLGOLDETF₹134.91−₹0.91 (0.67%)1,00,589+47.17%
Angel One Gold ETFAONEGOLD₹14.31−₹0.04 (0.28%)1,55,371+39.13%
Axis Gold ETFGOLDAXIS₹127.47−₹0.31 (0.24%)8,06,375+45.83%
Bandhan Gold ETFGOLDBND
Baroda BNP Paribas Gold ETFBBNPPGOLD
Choice Gold ETFCHOICEGOLD
DSP Gold ETFGOLDADD
Edelweiss Gold ETFEGOLD
Groww Gold ETFGROWWGOLD
HDFC Gold ETFHDFCGOLD
HSBC Gold ETFHSBCGOLD
ICICI Prudential Gold ETFGOLDIETF
Invesco India Gold ETFIVZINGOLD
Kotak Gold ETFGOLD1
LIC MF Gold ETFLICMFGOLD
Mirae Asset Gold ETFGOLDETF
Motilal Oswal Gold ETFMOGOLD
Nippon India ETF Gold BeesGOLDBEES
Quantum Gold Fund ETFQGOLDHALF
SBI Gold ETFSETFGOLD
Tata Gold Exchange Traded FundTATAGOLD
The Wealth Company Gold ETFTWCGOLDETF
Union Gold ETFUNIONGOLD
UTI - Gold Exchange Traded FundGOLDBETA
Zerodha Gold ETFGOLDCASE

What is a Gold ETF?

A Gold ETF (Exchange Traded Fund) is an investment fund that invests in physical gold and aims to track its market price. It is traded on stock exchanges like a regular share, allowing investors to buy and sell units during market hours. Gold ETFs provide a convenient and cost-effective way to invest in gold without the need to buy, store, or insure physical gold, while also offering liquidity and portfolio diversification.

How Do Gold ETFs Work?

If you are wondering how does a Gold ETF work, it functions by investing in physical gold and reflecting changes in gold prices through tradable units listed on stock exchanges.

  • A Gold ETF invests primarily in physical gold of high purity and tracks its market price.
  • Investors buy and sell ETF units on a stock exchange through a trading account.
  • Each unit represents a specific quantity of gold held by the fund.
  • The value of the ETF generally moves in line with gold prices.
  • Fund managers oversee the holdings to ensure the ETF reflects the performance of gold as closely as possible.

How to Invest in Gold ETF with InCred Money

Getting started with Gold ETFs through InCred Money is a straightforward process that can be completed in a few simple steps.

  1. Step 1: Complete Your Account Setup

    Open an InCred Money investment account and complete the required KYC verification process.

  2. Step 2: Access the Investment Platform

    Log in to your account and navigate to the investment section.

  3. Step 3: Search for a Gold ETF

    Browse available Gold ETFs and select one that aligns with your investment objectives.

  4. Step 4: Review Fund Details

    Find important details about the fund such as its size, expenses, and track record.

  5. Step 5: Place Your Order

    Enter the desired number of ETFs that you want to buy.

  6. Step 6: Confirm the Transaction

    Confirm all details of the order before paying for it.

  7. Step 7: Receive ETF Units

    The Gold ETFs will get added to your Demat account after the processing of the order is completed.

  8. Step 8: Monitor Your Investment

    Manage your investments accordingly depending on your financial requirements.

Benefits & Risks of Gold ETFs

Before investing, it is important to understand both the advantages and the potential risks associated with Gold ETFs.

Benefits

  • An easy way to invest in gold without storage or security concerns.
  • High liquidity allows investors to buy and sell units during market hours.
  • Lower costs compared to purchasing physical gold with making charges.
  • Transparent pricing that closely tracks gold market prices.
  • Suitable for portfolio diversification and long-term wealth planning.

Risks

  • Returns depend on movements in gold prices and may fluctuate.
  • Expense ratios can slightly affect overall returns.
  • Tracking errors may occur between the ETF and actual gold prices.
  • Market volatility can impact short-term performance.
  • Gold ETFs do not generate regular income like dividends or interest.

Types of Gold ETFs

Gold Exchange Traded Funds come in various types, giving the investor flexibility to select a scheme based on their investment objective and risk profile.

  • Physical Gold ETF: directly invests in gold and replicates its market value.
  • International Gold ETF: designed for investments in international gold assets.
  • Gold Mining ETF: invests in firms involved in gold mining.
  • Gold Fund of Funds (FoF): invests in Gold ETFs instead of physical gold.

Gold ETFs vs Stock Investing

Gold ETFs and stocks serve different investment purposes.

ParameterGold ETFsStock Investing
ReturnsLinked to gold pricesBased on company performance and market conditions.
RiskModerateModerate
VolatilityGenerally lower than stocksCan be higher due to market fluctuations
Income PotentialNo regular dividendsMay offer dividends and capital appreciation
LiquidityHigh traded on stock exchangesHigh for listed stocks
Investment ObjectiveDiversification and wealth preservationLong-term wealth creation and growth
SuitabilityInvestors seeking stable exposure to goldInvestors willing to take higher risk for potentially higher returns.

Frequently Asked Questions

The average market price of Gold ETFs typically ranges between lower and higher price bands depending on the fund and Gold price movements.

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