Mirae Asset Investment Managers (India) Pvt. Ltd. has introduced the "Mirae Asset Gold ETF Fund of Fund," an open-ended scheme that invests in units of the Mirae Asset Gold ETF. This fund provides an opportunity for investors to gain exposure to domestic gold prices without the need to hold physical gold.

What is the investment objective?

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The primary goal of this fund is long-term capital appreciation by investing in the Mirae Asset Gold ETF, which is backed by physical gold certified by the London Bullion Market Association (LBMA) with a purity of 99.5% or higher. However, achieving this objective is not guaranteed.

What is the NFO subscription period?

The New Fund Offer (NFO) is open for subscription from October 16, 2024, to October 22, 2024.

When does the fund re-open for continuous sale and repurchase?

The fund will re-open for continuous sale and repurchase on October 28, 2024.

What is the minimum investment required?

The minimum investment during the NFO is Rs 5,000, with additional investments in multiples of Re 1 thereafter.

Who will manage the fund?

The fund will be managed by Mr. Ritesh Patel and Mr. Akshay Udeshi.

What is the risk level of the scheme?

The scheme primarily invests in units of the Mirae Asset Gold ETF and aims to generate long-term capital appreciation. Investors should understand that their principal will be at high risk.

What is the benchmark for the scheme?

The scheme's performance is benchmarked against the domestic price of physical gold.

Why should you consider investing in Mirae Asset Gold ETF Fund of Fund?

Siddharth Srivastava, Head of ETF Product and Fund Manager at Mirae Asset Investment Managers (India), describes the fund as a "simple and effective way to diversify portfolios with exposure to gold, a proven wealth preserver during inflationary periods and economic downturns."

"Gold is often viewed as a safe-haven asset, offering diversification during periods of geopolitical tensions, inflation, and market volatility. By investing in this fund, investors can potentially strengthen their portfolios and better navigate economic uncertainties," he added.