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July 7, 2011About The Fund & Investment Objective
UTI-Gold Exchange Traded Fund is an Open ended Exchange Traded Fund. It started on January 3,2007. The scheme objective is to provide returns that closely track the performance and yield of Gold ie, before expenses.
Type of Scheme – Open Ended
Option – Growth
Inception Date – Apr 10, 2007
Face Value (Rs/Unit) – 1000
Fund Size – Rs. 611.2 Cr as on Sep 30, 2011
UTI-Gold Exchange Traded Fund Asset Allocation & Minimum Investment Amount
Asset Allocation –
Gold bullion: 90% – 100%
Money Market instruments and other debt securities: 0 – 10%
Face Value – Rs.100
Minimum Investment Amount –
Investors can invest during the New Fund Offer with a minimum application amount of Rs 20,000/- and in multiples of Re 1/- thereafter.
UTI Gold ETF NAV, Entry & Exit Load, Expense Ratio, Fund Manager
NAV as on 28/10/2011 is Rs.2659.5658
There is no entry/exit load on UTI Goldshare units bought & sold through the secondary market.
Exit Load- Nil
Expense Ratio – 2.5%
UTI Gold ETF Performance –
The UTI Gold ETF has not done well in the past 1 year or the last 3 years.The Gold ETF has underperformed the benchmark by more than 1% in the last 1 and 3 years according to the prospectus.
UTI Gold ETFTicker Name & Stock Exchange –
UTI’s Gold ETF Units are traded under the ticker name “GOLDSHARE” on the NSE.
UTI Gold ETF Units & Price –
Investors can buy and sell as small as 1 unit (approx. 1 gram) on the exchange.
The price of each Unit will replicate approximately 1 gram of gold at landed gold prices. Investors can sell the GOLDSHARE Units on NSE at the prevailing prices like any share.
How to Buy UTI Gold ETF–
- UTI’s GOLDSHARE is listed on National Stock Exchange.
- Investors can buy or sell GOLDSHARE units from the NSE and each unit will be backed by physical gold held by the custodian of the scheme.
- No Securities Transaction Tax(STT) will be applicable for GOLDSHARE Units unlike other shares that are traded on the NSE.
- The Minimum trading lot is one Unit.
- Authorized participants will act as market makers and provide liquidity for the units of GOLDSHARE on NSE. They can directly buy & sell units of GOLDSHARE in one or more multiples of 1000 Units with the Fund.
UTI Gold ETF Online Purchase –
- Open an online trading and demat account with a broker affiliated with National Stock Exchange.
- Log on to the web site of an online trading portal. Use your login ID & password to access your account.
- Place the buy order for the purchase of specified number of UTI Gold ETF Units (NSE script code for UTI Gold ETF is “GOLDSHARE”)
- Web system debits your bank account and credits your demat account with the units.
UTI Gold ETF Fund Review
UTI Gold ETF is a bad Gold ETF with bad performance and bad expense ratio.It makes no sense at all to invest in Goldshare.There is no reason for such a high expense ratio in a passive fund which provides no investing expertise or great advantage.You are better off buying HDFC Gold ETF or Kotak Gold ETF.UTI despite being the oldest mutual fund house in India has come up with a very bad Gold ETF offering.You are best advised to look at the following Gold ETF to make an investment.