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The prices at that trade are roughly based on the net asset values of their underlying domain portfolios. Eg. Benchmark Goldbees fund replicates the NAV as 1 gram of Gold, hence may refine purchase one gram of gold in demat form by buying 1 unit of this fund and paying the brokerage just about every other equity purchase. This charge would be much lesser than the packing and bill charges that fresh to a goldsmith for your purchases of a single gram cash.ETF funds are low-cost securities flexible than mutual funds as they charge lower annual expenses than index mutual funds. They first came into existence on USA in 1993.
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