GIFT City-based Artha Bharat Investment Managers IFSC LLP has launched the Artha Bharat FinMet Physical Gold Fund following recent regulatory changes in the International Financial Services Centre (IFSC). The launch comes after the International Financial Services Centres Authority (IFSCA) brought commodity trading under the definition of financial products from January 2026.
The fund has been introduced in partnership with Singapore-based FinMet, which will act as the investment adviser. The development marks the introduction of a physical commodity investment fund from GIFT City under the revised regulatory framework.
The Artha Bharat FinMet Physical Gold Fund has been structured as an open-ended and passively managed investment vehicle. The fund aims to provide investors with exposure to physical gold through a regulated IFSC platform.
Its launch reflects the evolving investment landscape within GIFT City following recent policy changes. The product also represents a new addition to the range of investment offerings available through India's international financial services ecosystem.
The fund launch follows an IFSCA notification that expanded the scope of financial products within the IFSC framework. From January 2026, commodity trading was brought under the regulatory definition of financial products, creating a pathway for such investment structures.
This regulatory change has enabled firms to introduce commodity-based funds through GIFT City. The development is part of broader efforts to deepen the range of financial products and market participation within the IFSC.
According to the fund structure, at least 95% of the corpus will be invested in London Bullion Association (LBMA) standard gold bars. These gold bars will be traded through the India International Bullion Exchange (IIBX), which operates within GIFT City.
The investment strategy is designed to provide direct exposure to physical gold rather than gold-linked securities. By focusing on LBMA-standard bullion, the fund seeks to align its portfolio with internationally recognised quality standards in the gold market.
The physical gold held by the fund will be stored in insured vaults operated by India International Depository IFSC (IIDI). The depository functions under the regulatory oversight of IFSCA, providing an institutional framework for custody arrangements.
Investors will be able to subscribe to and redeem units on a weekly basis under the open-ended structure. In addition to cash redemptions, eligible investors may also opt to receive physical gold bars, subject to the applicable terms and conditions of the scheme.
Read More: Debt Mutual Funds See ₹96,949 Crore Outflows In May Amid Treasury Shifts.
For daily market updates and regular stock market news in Hindi, stay tuned to Angel One's share market news in Hindi.
The launch of the Artha Bharat FinMet Physical Gold Fund comes as GIFT City continues to expand its bullion and commodities ecosystem. The partnership between Artha Bharat and FinMet introduces a regulated physical gold investment product under the IFSC framework.
The fund's strategy involves substantial investment in LBMA-standard gold traded on IIBX, while physical holdings will be maintained in insured vaults under regulated custody arrangements. The development highlights the growing role of GIFT City in offering new financial products linked to commodity markets.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Investments in the securities market are subject to market risks, read all the related documents carefully before investing.
Published on: Jul 3, 2026, 2:40 PM IST
Akshay Shivalkar
Akshay Shivalkar is a financial content specialist who strategises and creates SEO-optimised content on the stock market, mutual funds, and other investment products. With experience in fintech and mutual funds, he simplifies complex financial concepts to help investors make informed decisions through his writing.
Know MoreWe're Live on WhatsApp! Join our channel for market insights & updates
Get the link to download the App
