Mutual fund houses restrict investments into gold ETFs, FoFs

Leading mutual fund houses, including HDFC, ICICI Prudential, and Nippon India, are temporarily restricting large lump-sum investments in gold ETFs and fund of funds. This move aligns with the government’s policy to discourage gold purchases, following an increase in import duty. The restrictions primarily target large investors, with exceptions for authorized participants and market makers, while SIPs remain largely unaffected.