Gold and Silver ETFs Drew Record Money in 2026

A large share of the money Indians put into precious metals in 2026 did not go into jewellery or coins at all. It went into exchange-traded funds. The flows were big enough to change how the market thinks about gold as a financial asset.

The numbers

Data from the mutual fund industry showed:

• Gold ETFs took in a record ₹24,040 crore in January 2026, more than double the previous month, and for the first time roughly matched inflows into equity funds.
• Across 2025-26, gold ETFs gathered about ₹68,868 crore, more than twice the total of the preceding five years combined.
• Flows were not one-way. May 2026 saw the first monthly outflow of the year, about ₹725 crore, the largest on record, as some investors booked profit. June 2026 recovered with an inflow of about ₹3,443 crore.
• Silver ETFs also drew money, taking in roughly ₹2,133 crore in May 2026 even as gold ETFs saw an outflow.

What a gold ETF actually is

A gold ETF is a fund that holds physical gold and trades on the stock exchange like a share. One unit tracks the price of gold, and the fund stores the metal on your behalf. You get price exposure and easy buying and selling, without holding a physical object.

How it differs from a hallmarked coin

An ETF and a hallmarked coin are different things doing different jobs:

• An ETF is a financial holding. You cannot wear it or hand it over at a wedding, and you rely on the fund and the exchange rather than a physical piece.
• A hallmarked coin or bar is metal in your hand, with its purity certified by a BIS mark and a HUID. It carries making or minting costs and needs safe storage, but it is a physical asset you control directly.

Neither is better in the abstract. An ETF suits someone who wants price exposure and liquidity; physical, hallmarked gold suits someone who wants the metal itself, for use or as a tangible holding.

The point about verification

The ETF surge is a reminder of why verification matters in the physical market. An ETF's gold is audited and standardised by design. When you buy physical gold instead, the equivalent assurance is the BIS hallmark and the HUID, which is what lets you trust the purity of a coin or bar the way an ETF investor trusts the fund's holdings.