Mutual Fund News : DSP Mutual Fund Introduces DSP Gold ETF

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DSP Mutual Fund has launched – DSP Gold ETF

An open-ended exchange traded fund replicating/tracking domestic prices of Gold.

Accordingly, the investment objective is to generate returns that are in line with the performance of physical gold in domestic prices, subject to tracking error. There is no assurance that the investment objective of the Scheme will be realized.

Under normal circumstances, DSP Gold ETF will hold an allocation of 95% to 100% of its assets in Gold and Gold Related Instruments and 0% to 5% in Cash and Cash Equivalents.

As per the Scheme Information Document, DSP Gold ETF will track its Underlying Index and will use a “passive” approach to endeavour to achieve scheme’s investment objective. The AMC does not make any judgments about the investment merit of underlying assets nor will it attempt to apply any economic, financial or market analysis. Since the scheme is an exchange traded fund, the scheme will only invest in gold & gold related securities constituting the underlying index.

DSP Gold ETF ’s performance will be benchmarked against Domestic Price of Physical Gold (based on London Bullion Market association (LBMA) gold daily spot fixing price.)

The scheme will be managed by Mr Ravi Gehani.

The NFO opens for subscription on April 17, 2023, and closes on April 24, 2023. The schemes will reopen for continuous sale and repurchase on Within five Business Days from the date of allotment.

The fund’s NAV is priced at Rs 10/- per unit during the NFO period. The minimum subscription amount is Rs 5,000/- and in multiples of any amount thereafter. 

Currently, there are no plan/options available under the Scheme.