If you want to earn profit from gold without buying it physically, you can choose Gold ETFs. There are many ETFs that can give good profit.
The gold ETFs represent 99.5% pure gold, and one unit of an ETF is equivalent to 1 gram of gold. You just need a demat account to invest in gold ETFs.
As the gold ETF reflects pure gold, its price also falls in the passive fund category and has a low expense ratio. Similarly, like pure gold, it will fluctuate in the short term but will provide profit in the long term.
The top five gold ETFs with the highest annualised gains (CAGR) over the last ten years. Know how a one-time investment of Rs 1,25,000 in each fund performed during a 10-year period.
LIC MF Gold ETF
Over a ten-year period, the ETF generated an annualised return of 11.80 percent. Its assets under management (AUM) are Rs 263 crore, and its net asset value (NAV) is Rs 7,966.3488 as of March 26, 2025. Since its inception in November 2011, the ETF has generated an annualised return of 7.70 percent as compared to the local gold price. The fund’s minimum lump sum investment is Rs 10,000, with an expense ratio of 0.41 percent. A one-time investment of Rs 1,25,000 in the ETF has grown to Rs 3,81,353.77 over ten years.
Invesco India Gold ETF
Over a 10-year period, the ETF generated an annualised return of 11.58 percent. It has Rs 233 crore in assets under management and a NAV of Rs 7,707.6247. Since its debut in March 2010, the fund has returned 10.65% annually when compared to the domestic gold price. With an expense ratio of 0.55 percent, the product requires a minimum lump sum investment of Rs 5,000. A Rs 1,25,000 investment in the ETF has grown to Rs 3,73,915.6 over a decade.
UTI Gold Exchange Traded Fund
In ten years, the fund has generated an annualised return of 11.54 percent. It has an asset base of Rs 1,713 crore and a unit price of Rs 74.5337. Since its inception in March 2007, the fund has generated an annualised return of 12.15 percent when compared to the local gold price.
The minimum lump sum investment for the ETF is Rs 20,000, with an expense ratio of 0.50%. A Rs 1,25,000 investment in the ETF has increased to Rs 3,72,577.32 during a ten-year period. There are many other gold ETFs, like HDFC Gold ETF Fund of Fund, Aditya Birla Sunlife Gold ETF, etc.
Written By
Priyanka Negi
Mar 28, 2025 13:46