SPDR Gold Shares (NYSE:GLD) seeks to reflect the performance of the price of gold bullion, less the expenses of the Trustâs operations. The Trust holds gold bars and from time to time, issues Baskets in exchange for deposits of gold and distributes gold in connection with redemptions of Baskets. The investment objective of the Trust is for the Shares to reflect the performance of the price of gold bullion, less the Trustâs expenses. The Sponsor believes that, for many investors, the Shares represent a cost-effective investment in gold.
- Net Assets 59.26 Billions
- YTD Daily Total Return -6.11%
- 3-Year Daily Total Return 12.90%
- Annual Expense Ratio 0.40%
When investors want exposure to gold bullion without the hassles of storing it, they buy SPDR Gold Shares. At almost $59.26 billion in total assets, it’s the largest U.S.-listed gold ETF and the 19th largest by assets of any U.S.-listed ETF.Large institutions that hold GLD include Bank of America with $2.2 billion, Morgan Stanley at $1.8 billion and UBS Group with $897 million.
When investors buy GLD shares, they purchase a fractional interest in the SPDR Gold Trust, which currently holds 990.53 tonnes of gold bullion. The gold is held by HSBC Bank, the custodian, in their London vault.
When inflation rises, investors reach for real assets, such as gold. Historically, gold has been found to outperform other commodities in absolute and risk-adjusted returns over most periods. Therefore, GLD ETF is held by investors for hedging rising inflation.