The inflows into gold and silver exchange-traded funds (ETFs) surged in September, even as prices of both precious metals corrected during the month, highlighting growing investor interest amid market uncertainty. However, financial advisors caution that the rise in inflows may reflect short-term tactical decisions and recent performance rather than a lasting shift in portfolio allocation.
Rajesh Minocha, a Certified Financial Planner (CFP), Founder of Financial Radiance shared with ETMutualFunds that the increase appears linked to higher precious metal prices and ongoing political and economic uncertainty and many investors may be choosing ETFs for their ease of inclusion in portfolios.