Table of Contents
Table of Contents
iShares Gold Trust Micro (IAUM)
SPDR Gold MiniShares Trust (GLDM)
Goldman Sachs Physical Gold ETF (AAAU)
- Markets News
- ETF News
Top gold ETFs for Q1 2024 include IAUM, GLDM, AAAU
By
Noah Bolton
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Noah has about a year of freelance writing experience. He's worked on his investing website dealing with topics such as the stock market and financial advice for beginners.
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Published January 01, 2024
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Gold prices have gained over 14% in the past year amid investors turning to the precious metal for a hedge against inflation and rising geopolitical risks. The yellow metal has also benefited from a lackluster U.S. dollar in recent months as investors dial back the Federal Reserve’s interest rate expectations. Typically, the price of gold and the U.S. dollar have an inverse correlation because demand for the precious metal fluctuates depending on the strength of the dollar.
Instead of physically holding the bullion, investors can gain cost-effective exposure to the metal by holding gold exchange-traded funds (ETFs). Below, we review the top gold ETFs that have generated the best returns over the past year. We exclude inverse and leveraged ETFs, as well as funds with less than $50 million in assets under management (AUM). All data below is as of Dec. 14.
Key Takeaways
- Top gold ETFs provide cost-effective exposure to gold prices without having to physically hold the precious metal.
- IAUM has an AUM of over $1.2 billion and has returned 12% over the past twelve months.
- GLDM has a one-year return of 12% and holds $6 billion in net assets.
- AAAU has over $607 million in net assets and returned 12% over the last year.
iShares Gold Trust Micro (IAUM)
- Performance Over One-Year: 12%
- Expense Ratio: 0.09%
- Annual Dividend Yield: N/A
- Three-Month Average Daily Volume: 344,794
- Assets Under Management: $1.2 billion
- Inception Date: June 15, 2021
- Issuer: Blackrock Financial Management
The ETF aims to track the spot gold price by holding physical gold bullion. IAUM suits investors seeking a hedge against inflation and to diversify their portfolio. The fund’s low expense ratio also suits traders wanting to speculate on gold’s day-to-day price fluctuations. IAUM shares trade at 1/100th of the spot price for gold, making the fund ideal for investors who want to trade small order sizes.
SPDR Gold MiniShares Trust (GLDM)
- Performance Over One-Year: 12%
- Expense Ratio: 0.10%
- Annual Dividend Yield: N/A
- Three-Month Average Daily Volume: 1,891,440
- Assets Under Management: $6.1 billion
- Inception Date: June 15, 2018
- Issuer: World Gold Council
The fund is marketed as an alternative to GLD, State Street's leading gold fund with $57 billion in assets under management. GLDM seeks to track the spot price of gold bullion, based on gold bars in London vaults. And it also operates as a grantor trust, meaning the fund's trustees can not lend out its assets.
Goldman Sachs Physical Gold ETF (AAAU)
- Performance Over One-Year: 12%
- Expense Ratio: 0.18%
- Annual Dividend Yield: N/A
- Three-Month Average Daily Volume: 1,559,172
- Assets Under Management: $607 million
- Inception Date: June 27, 2018
- Issuer: Goldman Sachs
Like the first two funds, this ETF has an investment objective to provide a similar return to the spot gold price by holding gold bars. Similar to GLDM, they are structured as a grantor trust. The fund was acquired by Goldman Sachs Asset Management (GSAM) in 2020 from Cottonwood ETF Holdings. After the acquisition, the fund lost its convertibility feature, preventing investors from converting fund shares for delivery of physical gold through gold coins and bars.
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CNBC. "Gold COMEX (Feb'24)."
ETF.com. "iShares Gold Trust Micro (IAUM)."
World Gold Council. "SPDR Gold MiniShares Trust (GLDM)."
ETF.com. "SPDR Gold MiniShares Trust (GLDM)."
Goldman Sachs. "Goldman Sachs Physical Gold ETF (AAAU)."
ETF.com. "Goldman Sachs Physical Gold ETF (AAAU)."
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