HDFC Mutual Fund launches Gold ETF

HDFC Mutual Fund has launched an open ended Gold Exchange Traded Fund, which aims to generate returns in line with the performance of gold. The scheme will invest 90% to 100% in gold bullion. Each unit, approximately equal to 1 gm of gold, will be issued at a premium equivalent to the difference between allotment price and face value. The new fund offer will be available from 25 June, 2010 to 23 July, 2010. Investors can investment a minimum amount of Rs 5,000. The scheme will not charge any entry and exit load. The scheme will be benchmarked against domestic price of physical gold.