Gold ETF collections up 90%

It had hit a new record of 19,744 rupees on Oct. 7.

Clients are growing by 50 percent (on year) and the interest is rising,Rajan Mehta,executive director with Benchmark Mutual Fund,the country’s largest gold fund.

There is selling by some holders,but new purchases are more,said Mehta.

Though gold collections under the ETFs are growing on year,they remain miniscule against India’s imports of around 700 tonnes annually.

The gold ETFs — instruments that trade like shares and are backed by physical gold holdings — are more than three years old and may get crowded with some other funds planning their entry.