Gold Exchange-Traded Funds (ETFs) have gained popularity among investors who want exposure to precious metals.
ETFs and mutual funds are similar in the sense that they track assets such as stocks, bonds, currencies, or commodities; the key difference is that ETFs can be bought and sold on exchanges, making them widely accessible. They provide significant flexibility in implementing various investment strategies and building investment portfolios.
Gold ETFs are fairly common today and are a good choice for investors who want to invest in precious metals without trading gold futures or owning physical gold, such as coins or gold bars.
What are the best gold ETFs?
- SPDR Gold Shares (BRAND: GLD)
- Total Assets: US$62.750 million
- tracks the spot price of the gold ingot and its cost is determined by market forces in the 24-hour over-the-counter gold ingot market. The physical ingot constitutes 100 percent of the ETF’s holding, and its expense ratio is 0.4 percent.
It
- iShares Gold Trust (BRAND: IAU)
- Total Assets: US$29.019.7 million
- Like the SPDR Gold Trust, it aims to track the spot price of the gold ingot. His expense ratio is 0.25 percent, and his possessions are entirely allocated to the physical gold ingot
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- SPDR Gold MiniShares Trust (BRAND: GLDM)
- Total Assets: US$7,673.1 million
- It offers investors one of the lowest expense ratios available for a US-listed ETF backed by physical gold bullion.
- Abrdn Physical Gold Shares ETF (BRAND: SGOL)
- Total Assets: US$3,177.57 million
- Issued by the abrdn Standard Gold Trust trust, it aims to reflect the performance of the price of the gold ingot, net of the trust’s operating expenses.
- iShares Gold Trust Micro (BRAND: IAUM)
- Total assets: US$1,168.65 million
- It is the physically backed ETF with the lowest costs on the market. Its expense ratio is 0.09 percent. The fund is designed to provide exposure to the daily movement in the price of the gold ingot
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