Gold exchange-traded funds (ETFs) achieved unprecedented success in FY26, recording net inflows of ₹68,867 crore, according to The Economic Times. This represents a remarkable 364% year-on-year jump, making it the fastest growth across all mutual fund categories including equity, debt and hybrid funds. The FY26 inflows significantly exceeded the earlier annual range of ₹700-15,000 crore, establishing an exceptional year for gold ETFs. The incremental inflows increased by ₹54,015 crore in FY26 over the previous year, compared with the earlier annual range of ₹2,500-10,000 crore.
Gold ETFs captured nearly 10% of total mutual fund industry inflows in FY26, sharply above the historical range of 1-3%, as reported by The Economic Times. This performance significantly outperformed other fund categories, with debt funds recording an 84% decline and equity funds showing a 17% decline year-on-year. In contrast, hybrid funds and other ETFs reported 30% and 65% increase in inflows respectively. The surge was aided by gold prices, which surged about 63% in FY26, rising to nearly ₹1.5 lakh by March 31, 2026.
According to latest AMFI data, gold ETF inflows showed some moderation in March 2026, falling 57% month-on-month to ₹2,265 crore, as reported by The Economic Times. However, this decline followed the exceptional performance in the previous months, with the March quarter recording the highest quarterly inflows of ₹31,561 crore. The monthly variation reflects typical market dynamics where investors may take profits after significant gains, while maintaining the overall positive trajectory for the full fiscal year.
According to Vikram Dhawan, commodities head and fund manager at Nippon India Mutual Fund, as reported by The Economic Times, investment demand and jewellery demand in gold have long moved in opposite directions during price spikes. The exceptional performance of gold ETFs reflects the current market environment where investors are seeking safe-haven assets amid geopolitical tensions and market volatility. The record inflows demonstrate the growing appeal of gold as an investment vehicle in the current economic climate.
According to latest data from CNBC TV18, Nippon India Mutual Fund emerged as the dominant player in gold and silver ETF trading during Akshaya Tritiya, accounting for 51% of total industry volume with combined volumes of ₹1,118 crore across its gold and silver ETFs. The fund house maintained this leadership position throughout FY26, accounting for approximately 52% of industry average daily trading volume in gold and silver ETFs. Additionally, Nippon India Mutual Fund reported having 1.8 crore ETF investors as of March 2026, representing roughly 45% of the total ETF investor base in the country, demonstrating its strong market presence and investor appeal in the precious metals segment.
