Although, on one hand, geopolitical risks have increased the appeal of Gold ETFs as safe-haven investments, a rising greenback and fears of rising interest rates are weighing on their performance. This article discusses some ETFs focused on providing exposure to the space…
The original article has been edited here for length (…) and clarity ([ ]) by munKNEE.com – A Site For Sore Eyes & Inquisitive Minds – to provide a fast & easy read.
SPDR Gold Shares ETF (GLD)
This fund offers physical exposure to gold seeking to track the performance of gold bullion and might turn out to be a cost-efficient way of gaining exposure to the commodity even after accounting for the fund’s fee…of 40 basis points a year. It has AUM of $36.0 billion and has returned 6.2% in a year…
iShares Gold Trust ETF (IAU)
This ETF seeks to provide exposure to the price of gold bullion and can be used as a means to attain portfolio diversification or achieve hedging targets. It has AUM of $11.2 billion and charges a fee of 25 basis points a year. It has returned 6.3% in a year…
ETFS Physical Swiss Gold Shares ETF (SGOL)
This fund aims to track the performance of gold bullion before fees and expenses and is a convenient way of gaining exposure to the metal. It has AUM of $1.1 billion and charges a fee of 39 basis points a year. It has returned 6.3% in a year…
Another way of gaining exposure to the metal is through ETFs investing in commodity futures. Let us discuss one such ETF.
PowerShares DB Gold Fund (DGL)
This fund is appropriate for those looking for a cost-efficient way of investing in commodity futures. However, since this fund invests in the futures markets, it is not deemed suitable for all investors owing to the highly speculative nature of the investments. It has AUM of $193.5 million and is relatively expensive as it charges a fee of 75 basis points a year. It has returned 5.3% in a year.
Related Articles From the munKNEE Vault:
There are a lot of hidden dangers inherent in the structure and operation of gold ETFs that few investors are aware of—and these risks are more pronounced than ever, as the threat of another financial crisis is always around the corner.
Exchange-traded mining sector funds (ETFs) are a great way to get involved in this potentially highly profitable business. Let me tell you why, where and how to do so.
I have always been leery of the two big exchange traded funds, SLV and GLD, because they lease the gold and silver that they sell you. I much prefer the ETFs SGOL, CEF, PSVL and PHYS which actually own the gold and silver they sell you and store it for you segregated vaults.
Whether you’re already an ETF investor or have just been hearing about them, you may be curious to know more or understand them better. Here are 5 questions (and brief answers) to help you get started.
Today’s infographic from StocksToTrade.com highlights the basics around ETFs, including how they work, what type of assets they can track, and the pros and cons associated with investing in them.
Whole oceans of ink have been spilled detailing the good and not-so-good points of the closed-end fund CEF (Central Fund of Canada) and the twin ETF’s GLD (SPDR Gold Trust) and SLV (iShares Silver Trust) funds. My goal here is to distill the salient points down to the fewest words possible to help make your due diligence task somewhat less…well…tasking. Let’s go!
It is important to understand the mechanics of these gold-backed ETF investment vehicles and to appreciate what they can, and can not, provide to gold investors. This infographic takes you on a tour of gold-backed ETFs and illustrates insights into how these products really work.
Investors wisely seeking exposure to precious metals must deliberate between the convenience of buying shares of an electronically traded fund (ETF) and the ultimate security of owning physical gold and silver bullion. We tasked ourselves to take a closer look at each to understand their important distinctions.
Gold ETFs are a bit more complicated than you might think at first glance but, hopefully, the key facts in this article will allow you to get a better handle on the market, and find more information on the best gold ETF option for your needs in today’s investing world.
There are many tools available to buy gold, which is the bedrock of any portfolio. These include coins, bars, futures contracts, certificates, options, and what has recently perhaps become the most popular instrument of all, the gold exchange-traded fund – the so-called ETF – but which of these many tools is the right one for you?
This article is probably going to draw a lot of heat. Regardless, I feel it is only fair to present both sides of the argument when it comes to owning physical gold vs. owning gold ETFs. Here they are.
Late last year the Royal Canadian Mint intoduced an Exchange Traded Receipt (ETR) in another long line of paper-gold investments that are now trading on securities exchanges worldwide. It, like all of the other programs, comes with a slew of fees and risks. [Why not take personal physical possession of your gold or silver, store it in an allocated and secure non-government vault, be able to have any or all of it shipped to you immediately upon request – and for dramatically less than any ETF or ETR? Let me explain how easily it is to do just that.]
For all the latest – and best – financial articles sign up (in the top right corner) for your free bi-weekly Market Intelligence Report newsletter (see sample here) or visit our Facebook page.