Category Archives: ETF

Gold Price might go high – Response to increase in Import Duty

Gold Price which has already seen its heights for some time now would reach new heights, As we all know that government has proposed a 50 per cent hike in custom duty on precious metals, including gold and silver. Which is like increase from Rs 200 to Rs 300 per gramme on gold almost 100 rs per 10 grams increase and On silver its from the current Rs 1,000 to Rs 1,500 per kilo. This for sure has to be sent directly to the retailers , so in a week or so we can see the price going up by 10 to 20 rs per gram.
Budget
Precious Metals – Budget 2010 Impacts

>On gold and platinum from Rs.200 per 10 grams to Rs.300 per 10 grams
>On silver from Rs.1,000 per kg to Rs.1,500 per kg.
> Basic customs on Rhodium – a precious metal used for polishing jewellery reduced to 2 per cent.
> Basic customs duty on gold ore and concentrates reduced from 2 per cent ad valorem
to a specific duty of Rs.140 per 10 grams of gold content with full exemption from
special additional duty. Further, the excise duty on refined gold made from such
ore or concentrate reduced from 8 per cent to a specific duty of Rs.280 per 10
grams.

GOLD ETF – Gold Exchange traded Funds that can be bought

As we can see the gold price are going up and instead of going and buying the gold in shop , we can benefit it from buying the gold as ETF and benefit from it , I have listed the various Gold ETF that is available in the market.Except Quantum Gold Fund , everything else is based on 1 gram gold price , Quantum Gold is Half a gram gold price.
Gold ETF

GOLDBEES,Benchmark Mutual Fund – Gold Benchmark Exchange Traded Scheme
GOLDSHARE,UTI Mutual Fund – UTI Gold Exchange Traded Fund
KOTAKGOLD,Kotak Mutual Fund – Gold Exchange Traded Fund
QGOLDHALF,Quantum Gold Fund -Exchange Traded Fund (ETF)
RELGOLD,Reliance Mutual Fund – Gold Exchange Traded Fund
SBIGETS,SBI Mutual Fund – SBI Gold Exchange Traded Scheme – Growth Option

Gold ETF Fund Available and Performance Since Launch

Here is the List of Gold ETF that is available in India and you can see the performance of each Fund since the launch , Over here every single ETF represent 1 Gram of Gold except Quantum Gold Fund which is 1/2 a Gram of gold , and we can go on arguing why the rate for every Gold ETF is not the same as they represent 1 gram of gold its just because of varying operating expenses and cash component and other inner expenses involved in trading the ETF .

Fund NAV (Date) Returns(%)
Kotak Gold ETF 1,291.11 (22-Dec) 31.43
UTI Gold ETF 1,317.25 (23-Dec) 21.24
Reliance Gold ETF 1,259.16 (22-Dec) 20.68
Gold Benchmark ETF 1,314.26 (23-Dec) 20.57
Quantum Gold 656.37 (23-Dec) 6.71