The fund will invest in units of the Baroda BNP Paribas Gold ETF, which in turn holds physical gold. Investors can start with a lump sum of ₹1,000 (and in multiples of ₹1 thereafter) or opt for SIPs starting from ₹500 per month.
The fund carries an exit load of 1% for redemptions made within 15 days of allotment. No exit load applies after that, making it a flexible investment option.
The launch comes at a time when gold prices are nearing ₹1 lakh per 10 grams. The fund seeks to bridge this gap with a low-ticket entry and cost-effective access to gold.
The scheme will be jointly managed by Gurvinder Singh Wasan, Madhav Vyas, and Swapna Shelar. The fund house highlighted that gold’s historical returns over the past 10 to 25 years have often matched or exceeded equities, while also offering diversification benefits due to its low correlation with equity markets.
According to Prashant Pimple, CIO – Fixed Income, Baroda BNP Paribas MF, Indian households hold around 25,000 tonnes of gold, more than the combined reserves of the top 10 central banks globally (WGC, July 2025). However, rising prices have made it harder for many to invest directly in the metal.
“With its low cost of holding, ease of transaction, and low minimum investment amount, we’ve tried to make gold accessible again to retail investors,” he said.
About the AMC
Baroda BNP Paribas Mutual Fund is managed by Baroda BNP Paribas Asset Management India, a joint venture between Bank of Baroda and BNP Paribas Asset Management, a part of the global BNP Paribas Group.
The fund house offers 46 schemes across equity, hybrid, debt, and overseas FoF categories.