- Gold ETF saw record inflows of $ 23 billion in March quarter

Mumbai, Ta. 9 April 2020, Thursday

Gold-based exchange-traded funds (ETFs) saw inflows of $ 3 billion or 8 tonnes in the March quarter, according to World Gold Council data. In terms of dollars, this inflow is the highest ever, and the number is the highest in terms of tonnage.

During the last year, gold ETFs added 5 tonnes, which is the most significant addition since the financial crisis of 5. Asset under management saw a growth of 5% compared to 1.

This growth has seen investors turn to safe investment because of the serious impact the coronavirus has on the world's economies. Global equity markets have been in recession due to coronavirus.

Talking about the month of March alone, gold ETFs globally have seen net inflows of $ 1.8 billion. In terms of tonnage, the cumulative figure has been 5 tonnes, resulting in the total increase in gold ETFs, which is the highest all-time high level ever.

For the first time since the financial crisis, the volatility of gold was the first time the trading volumes and asset under management recorded a record high.

At the end of March, gold prices stabilized at $ 5 an ounce, but it showed strong volatility throughout the month.

In terms of area, European funds have had the highest inflows.

Due to the uncertainty currently seen around the world due to Covid-1, the possibility of inflows in gold ETFs is unlikely to continue in April.

The world's central banks are declaring financial stimulus to support their economies, which can prove inflationary and support gold prices in the long run.