Margin Trading Facility (MTF) is widely used in equity markets, where brokers offer leverage that allows investors to buy securities worth several times their available funds. With gold prices continuing their strong upward trend, HDFC Securities has extended this facility to gold Exchange Traded Funds (ETFs).
Under this offering, eligible investors can take leveraged exposure to gold, with HDFC Securities funding up to 70% of the investment value, depending on market and risk conditions. The borrowed amount carries an interest cost of 1% per month. For example, an investor looking to purchase gold ETFs worth ₹2 lakh would need to invest ₹60,000 of their own money, while the remaining ₹1.4 lakh can be funded through MTF. The service is available on the HDFC SKY platform via both mobile and web.
Gold ETFs have been among the top-performing assets in 2025, rising about 72% so far, second only to silver. Along with HDFC Gold ETF, several other fund houses’ gold ETFs are also eligible for MTF. HDFC Securities advises investors to carefully consider risks, costs, and suitability before using leveraged products, as gains and losses can be magnified.