SPDR Gold Shares ETF
Name SPDR Gold Shares ETF
Type Commodity Fund
Since 31 July 2008
Benchmark Pricing of 0.1 ounce of gold
Expense Ratio 0.40% p.a.
Lot Size 10
Currency HKD
Dividends NIL
HKSE 2840.HK
Factsheet Factsheet of SPDR Gold Shares ETF
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SPDR Gold Shares (“Gold Shares”) offer investors an innovative and relatively cost-efficient way to access the gold market, offering a means of participating in the gold bullion market without the necessity of taking physical delivery of gold, and to buy and sell that participation through the trading of a security on a regulated stock exchange. Gold Shares are intended to lower many of the barriers, such as access, custody and transaction costs, that have prevented some investors from investing in gold.

Margin trading and short selling are also eligible.

How it worksEdit

Gold Shares are exchange traded securities that give the holder an undivided beneficial ownership interest in a trust, the primary asset of which is allocated gold. Shares are designed to track the price of gold and trade like a continuously offered security according to market demand. Shares cannot be created without the appropriate amount of gold first being delivered to the trustee to effect the “creation.”

The initial amount of gold required by the Trust to create a basket of 100,000 shares is 10,000 ounces (1/10 of an ounce of gold per Gold Share). The gold that underlies Gold Shares is held in the form of allocated 400 oz. London Good Delivery bars in the London vault of HSBC Bank USA, or in the vaults of sub-custodians.

External LinksEdit