The combined assets under management (AUM) of gold and silver exchange-traded funds (ETFs) surged past Rs 3 lakh crore in January 2026, reaching a fresh record high as strong investor inflows offset heightened volatility in precious metal prices.
Data from the Association of Mutual Funds in India (AMFI) showed that total AUM, which stood at around Rs 1 lakh crore in August 2025, nearly tripled within five months to cross the Rs 3 lakh crore mark by January this year.
Investor participation rose sharply during the period. Gold ETF folios increased from 80.34 lakh to 1.14 crore, reflecting a growth of 43 per cent, while silver ETF folios jumped from 11.31 lakh to 47.85 lakh, a surge of 323 per cent, highlighting growing retail and institutional interest in bullion-backed products.
The expansion was largely driven by record inflows in January. Gold ETFs attracted more than Rs 24,039 crore during the month, while silver ETFs saw inflows of Rs 9,463 crore, according to AMFI data.
Combined inflows into bullion ETFs exceeded equity fund inflows of Rs 24,029 crore during the same period. In December, gold and silver ETFs together drew Rs 15,609 crore, compared with Rs 28,055 crore for equity funds, marking a second straight month of moderation in equity allocations.
Market participants said the surge in demand for gold ETFs reflected investor caution amid policy uncertainty, a relatively weaker US dollar and concerns over the trajectory of US Federal Reserve policy.
Domestically, uncertainty around the India-US trade environment and persistent foreign investor outflows encouraged investors to increase allocations to gold as a defensive asset class.
Silver ETFs also benefited from strong momentum following last year’s sharp rally in silver prices and growing recognition of the metal’s dual role as both a safe-haven and an industrial commodity. Robust fund performance further boosted investor participation.
Meanwhile, data from the World Gold Council indicated that central bank gold purchases in 2025 fell below 1,000 tonnes, suggesting that recent price momentum has been driven increasingly by private investor flows rather than sovereign accumulation.