HDFC MF Launches Gold Silver Passive FOF: NFO Aug 24

HDFC Mutual Fund has announced the launch of the HDFC Gold Silver Passive FOF, an open-ended Fund of Fund scheme designed to invest in units of Gold and Silver Exchange Traded Funds (ETFs). The New Fund Offer (NFO) is scheduled to open for subscription on August 24, 2026, and will close on September 07, 2026.

This new scheme aims to generate returns for investors by providing exposure to both gold and silver through a diversified ETF portfolio. The structure allows for passive investment in two significant precious metals, aligning with a strategy focused on commodity-linked returns.

Subscription and Load Structure

The HDFC Gold Silver Passive FOF comes with a clear load structure, ensuring transparency for potential investors. No entry load will be charged for subscriptions into the scheme, making initial investments more accessible.

However, an exit load applies under specific conditions. Investors redeeming or switching out units within 15 days from the allotment date will incur a 1% charge. After this 15-day period, no exit load is payable on redemptions or switch-outs.

• NFO Opens: August 24, 2026
• NFO Closes: September 07, 2026
• Entry Load: None
• Exit Load (within 15 days): 1%
• Exit Load (after 15 days): None
• Minimum Subscription: Rs 100/-

Benchmark and Management

The scheme’s performance will be rigorously benchmarked against a composite index reflecting the domestic prices of physical gold and silver. This benchmark ensures that the fund’s returns are measured against relevant market movements in the underlying assets.

The benchmark composition is specifically weighted to reflect the combined performance of these precious metals. The fund will track 70% of the Domestic Price of physical Gold and 30% of the Domestic Price of physical Silver, as derived per regulatory norms.

• Gold Component: 70% of Domestic Price of physical Gold
• Silver Component: 30% of Domestic Price of physical Silver

The HDFC Gold Silver Passive FOF will be managed by a team of experienced professionals. Bhagyesh Kagalkar and Nandita Menezes have been appointed as the fund managers, overseeing the scheme’s investment strategy and portfolio allocation.

• Fund Manager: Bhagyesh Kagalkar
• Fund Manager: Nandita Menezes

This scheme offers a structured approach for investors seeking exposure to both gold and silver, with its clear investment objective to generate returns from units of Gold and Silver ETFs. The defined load structure and experienced management aim to provide a streamlined investment avenue.