The launch follows an IFSCA notification that brought commodity trading under the definition of financial products within the IFSC regulatory framework from January 2026.
The fund has been launched in partnership with Singapore-based FinMet, which will serve as investment adviser.
According to the fund structure, at least 95% of the corpus will be invested in London Bullion Association (LBMA) standard gold bars traded on the India International Bullion Exchange (IIBX).
The scheme is structured as an open-ended, passively managed fund and will offer weekly subscriptions and redemptions. Investors will also have the option of redeeming units either in cash or through delivery of physical gold bars, subject to applicable terms and conditions.
The physical gold will be stored in insured vaults operated by India International Depository IFSC (IIDI), which functions under the regulatory oversight of IFSCA.
The launch comes amid ongoing efforts to expand the range of financial products and institutional participation within GIFT City’s bullion and commodities ecosystem. Industry observers have also been tracking trading activity on IIBX, India’s international bullion exchange launched in 2022 to facilitate bullion trading through the IFSC framework.
Artha Bharat stated that the fund would be among the first institutional investment vehicles to hold physical gold through IIBX infrastructure as a financial asset rather than for import-related transactions.
ALSO READ | NPS Swasthya rollout in 60-70 days: Can it ease retirees’ medical expenses
