Akshya Tritya on Tuesday brought an additional glitter to fund houses offering gold ETFs this year, thanks to more awareness about the product, according to market watchers.
According to data posted on the NSE at the end of the extended trading session allowed for Gold ETF securities at 8 p.m., most gold ETF stocks closed trade near to their 52-week highs on Tuesday.
Ms Lakshmi Iyer, Head Fixed Income and Product, Kotak Mahindra Asset Management Company, said: “This year's Akshya Tritya Gold ETF trading has been very encouraging and a lot of traditional gold buying on this auspicious day has happened through gold ETFs as compared to last year as there is more awareness this year about the product.”
“An investor who could buy 20 grams of gold last year would only buy 10 grams this year. But as long as the geopolitical risk in international markets looms large, it would continue to support gold demand,” she added.
Mr Alex K Mathews, Head Technical and Derivatives Research, Geojit BNP Paribas Financial Services also added that this year's Akshya Tritya witnessed higher demand for gold ETFs owing to a new set of investors who this year.
Apart from being provided with extended trade timings on the BSE and the NSE till 8 p.m., there was also a waiver of transaction charges on trades in gold ETF securities on the occasion of Akshya Tritya.
The National Spot Exchange Ltd has also announced special offers on e-Gold, e-Silver and e-Platinum for Akshya Tritya. These include zero transaction charges and waiver of making and packing charges on physical conversion of E-Gold, E-Silver and E-Platinum.
manisha@thehindu.co.in