SPDR Gold Shares (NYSEArca:GLD) Assets + $18-B in 2016.

SPDR Gold Shares (NYSEArca:GLD) Assets + $18-B in 2016.

SPDR Gold Shares (NYSEArca:GLD) Assets + $18-B in 2016

Gold may emerge as one of the Brexit vote’s biggest commodity winners should revised forecasts from a growing number of banks prove correct as the poll’s outcome sets the stage for greater global economic uncertainty and hobbles the likelihood of rate rises from the US Fed.

Notably, GLD has seen an $18-B YTD rise in assets under management, it is highest since physically-backed fund’s inception in 2000

Once the largest fund of its kind in the world, top physical Gold-backed exchange traded fund is having a record 1-H in Y 2016.

After 3 years of a declining price and investors liquidating positions built up during the metal’s Bull run, this year the fund’s assets under management have swelled by $18.5-B YTD.

GLD is the largest physically-backed exchange traded Gold products holding 48.8% of the global total today at 950 tonnes or 30.5-M ounces worth $40.3-B.

GLD’s holdings have risen by 308 tonnes so far in Y 2016 to the highest mark since July 2013.

The rise in assets under management in Y 2016 is a better performance than Y’s 2009 and 2010 when investors caught in the global financial crisis and cautioned by QE ran to Gold.

2016 already best year ever for world's largest gold ETF

Gold ETFs were credited for a big portion of the metal’s uninterrupted 12-year Bull run, because ETFs make it so easy to invest in the precious Yellow metal.


GLD was listed on 18 November 2004 and saw good 1st day. Investors bought just over 8 tonnes or 260,000 oz of Gold giving the fund a net asset value of $115-M.

On 22 August 2011 when Gold hit record highs above 1,900 GLD became the largest ETF in the world briefly surpassing the venerable SPDR S&P 500 Trust at a net asset value of $77.5-B.

Gold holdings in the trust peaked in December 2012 at 1,353 tonnes or 43.5-M oz.

That dove in Y 2013 as the price sank and investors pulled 552 tonnes from the fund. That year GLD had just 17 days of inflows.

Those who got in on the GLD at the beginning are enjoying returns 135%, in contrast to money into the S&P 500 in November 2004 is now worth + 77% today.

HeffX-LTN Analysis for GLD: Overall Short Intermediate Long
Bullish (0.25) Bullish (0.39) Bullish (0.35) Neutral (0.01)

By Frik Els

Paul Ebeling, Editor

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Paul Ebeling

Paul A. Ebeling, polymath, excels in diverse fields of knowledge. Pattern Recognition Analyst in Equities, Commodities and Foreign Exchange and author of “The Red Roadmaster’s Technical Report” on the US Major Market Indices™, a highly regarded, weekly financial market letter, he is also a philosopher, issuing insights on a wide range of subjects to a following of over 250,000 cohorts. An international audience of opinion makers, business leaders, and global organizations recognizes Ebeling as an expert.

One Response to "SPDR Gold Shares (NYSEArca:GLD) Assets + $18-B in 2016."

  1. David Smith   July 1, 2016 at 9:34 am

    “GLD is the largest physically-backed exchange traded Gold products holding 48.8% of the global total today at 950 tonnes or 30.5-M ounces worth $40.3-B.”

    This is highly questionable. Paper gold GLD claims to be fully backed by physical gold bullion but yet it refuses to give your everyday investors the right to redeem for any of these ‘claimed’ gold bullion. This fact alone would mean GLD shares are nothing more than paper at the end of the day. Furthermore, GLD’s prospectus is chalk full of weasel clauses and legal loopholes that allows the fund to get away without the full physical gold backing. One good example of this is the clause that states GLD has no right to audit subcustodial gold holdings. To this day, I have not heard of a single good reason for the existence of this audit loophole. There are other issues as well that I’ve verified and welcome everyone else to do the same:

    “Did anyone try calling the GLD hotline at (866) 320 4053 in search of numerical details on GLD’s insurance? The prospectus vaguely states “The Custodian maintains insurance with regard to its business on such terms and conditions as it considers appropriate which does not cover the full amount of gold held in custody.” When I asked about how much of the gold was insured, the representative proceeded to act as if he didn’t know and said they were just the “marketing agent” for GLD. What kind of marketing agent would not know such basic information about a product they are marketing? It seems like they are deliberately hiding information from investors.

    I remember there was a well documented visit by CNBC’s Bob Pisani to GLD’s gold vault. This visit was organized by GLD’s management to prove the existence of GLD’s gold but the gold bar held up by Mr. Pisani had the serial number ZJ6752 which did not appear on the most recent bar list at that time. It was later discovered that this “GLD” bar was actually owned by ETF Securities.”

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