Aditya Birla Sun Life Mutual Fund has filed a draft scheme document for its Gold Silver Passive Fund of Fund (FOF). The scheme is structured as an open-ended fund that will invest in units of its existing gold and silver exchange-traded funds (ETFs).
The stated objective is to generate long-term capital appreciation through exposure to both metals. The document notes that returns are not assured, and the objective may not be achieved.
The scheme will follow a passive approach, allocating funds to underlying ETFs rather than selecting securities directly. Gold exposure is expected to range between 50% and 90%, while silver allocation may vary between 10% and 50%.
At least 95% of total assets will be invested in the 2 ETFs, with up to 5% held in debt and money market instruments to meet liquidity requirements. The scheme will not invest in derivatives, overseas securities, or structured debt.
Units will be offered at ₹10 each during the New Fund Offer (NFO) period. The scheme is scheduled to reopen for ongoing subscriptions and redemptions within 5 business days from allotment.
The minimum investment during the NFO period is ₹1,000, while subsequent investments can be made from ₹100 onwards. Systematic investment options will also be available with a minimum contribution of ₹100.
The total expense ratio is capped at 1.00% of daily net assets, with an additional provision of up to 0.05% under regulatory limits.
An exit load of 0.10% will apply for redemptions made within 15 days from allotment. No exit load is applicable after this period. Redemption proceeds are to be processed within 3 working days.
The scheme’s performance will be measured against a benchmark combining domestic gold and silver prices in a 50:50 ratio. Net asset value will be disclosed on a daily basis and published by the next business day.
Read More: Upcoming NFOs Opening This Week (Apr 6–Apr 10, 2026): Two Mutual Funds and One SIF Open for Subscription!
The draft outlines a commodity-focused fund of fund structure combining gold and silver exposure through ETFs, with defined allocation ranges, standard pricing terms and regulatory expense limits.
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.
Mutual Fund Investments are subject to market risks, read all the related documents carefully before investing.
Published on: Apr 6, 2026, 1:33 PM IST
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