Which ETF Has the Most Gold?
Gold investors often see gold as an investment diversifier, an inflation hedge and can help provide peace of mind in times of political or social upheaval. ETFs provide an economical way of playing gold without owning physical bullion bullion itself.
Six ETFs that invest in physical gold hold the market’s preeminence, with SPDR Gold Shares leading the pack. These funds prioritize bars manufactured post-2012 as a preventative measure against counterfeiting.
Gold has long been considered an investment that provides protection from market instability. Investors seeking the safe haven qualities of gold may be wondering which ETF has the highest concentration of this precious metal on offer; here is a look at some of their biggest options on the market.
1. SPDR Gold Shares
This ETF, listed on the New York Stock Exchange and offering access to physical gold, was the pioneer ETF on the market and still holds the largest position, totalling approximately 975 tons at present. Furthermore, its expense ratio stands at only 0.1% annually – making this fund highly economical to own.
2. iShares Gold Trust ETF This ETF stands as the gold bullion standard among U.S.-traded ETFs with $59 billion of assets under management – its low price, high liquidity and ability to track daily gold spot price fluctuations make it an excellent long-term option.
3. Wisdom Tree Physical Gold ETF
This ETF specializes in owning physical gold bullion. However, its holdings of this precious metal have been decreasing steadily since 2018. In 2021, however, they held only 96 tons – though that represents only a small share of overall market. Nonetheless, investors seeking an affordable way to invest in yellow metal may find this ETF attractive.
4. ETFS Physical Swiss Gold UCITS ETF
At VanEck, this ETF takes physical gold ownership one step further by offering investors the ability to exchange shares for physical gold bullion at no additional fee. Although fees will incur when redeeming funds for physical bullion, this option could appeal to those wanting an easier and less time consuming solution than shipping and storing physical bullion themselves.
5. Leveraged and Inverse Gold ETFs
It is important to recognize that leveraged and inverse gold ETFs, like those featured on this list, are highly risky investments. Their inverse models magnify both losses and gains more quickly than traditional ETFs; making them much more volatile. As such, these ETFs should only be purchased by sophisticated investors who possess extensive financial market knowledge.
When selecting an ETF or ETC, there are a variety of other factors you must take into account in addition to returns. Be sure to examine each ETF’s underlying assets, costs, performance history, currency hedge, instrument type and collateral before making your selection – you can access all this data through SEC’s EDGAR database and their respective prospectuses. Once that process has been completed, start comparing options until you find what suits your portfolio best! Good luck and have fun investing!