Global X Physical Gold
Invest in physical gold on the stock exchange and avoid the need for personal storage.
Global X Physical Gold (ASX: GOLD) offers a low-cost and secure way to access physical gold via the stock exchange and avoids the need for investors to store their own bullion personally.
GOLD invests in gold bullion bars, which are vaulted in London on behalf of holders. It aims to offer a return equivalent to the movements in the Australian dollar price of gold, less the annual management fee.
- GOLD was the first gold-backed exchange-traded product in the world, launching in 2003.
- There are more than 31.8 tonnes of gold in the vault today¹ – that’s the equivalent of around 17 passenger cars!²
1 As of 18 August 2022
- GOLD is an exchange traded commodity that trades on the stock exchange, just like a share, and is settled and held in ordinary brokerage accounts.
- Physical allocated gold bullion held by JPMorgan Chase Bank, N.A. in London.
- Adheres to global gold quality standards as per the London Bullion Market Association’s (LBMA) rules for Good Delivery.
- Each physical bar is segregated, individually identified and allocated, which means there is no credit risk.
Gold typically performs differently to other asset classes (i.e., having a low correlation to them). This helps it offer diversification of returns in times of volatility in one or more asset classes.
Source: Bloomberg data as at 13 July 2022. Correlations are calculated weekly over 5 years in Australian dollars. Australian equity is represented by the S&P/ASX200 Total Return Index. Australian fixed income is represented by the Bloomberg AusBond Composite 0+ Yr Index. Global equity is represented by the MSCI World Total Return Index. Global fixed income is represented by the Bloomberg Global Aggregate Total Return Index.
- GOLD can enhance a portfolio’s overall risk/return characteristics through diversification.
- It can be used as part of the alternatives allocation in a portfolio.
- As a tactical investment based on its unique supply and demand characteristics.
GOLD Demand Estimates by Sector 3
Click here to view our latest Performance Details.
Global X Metal Securities Australia Limited (MSAL) is a Corporate Authorised Representative (CAR No: 001274650) under the Global X Management (AUS) Limited AFSL. (AFSL No: 466778). Before considering an investment in these products, investors should obtain a copy of the Prospectus from Global X Management (AUS) Limited (“Global X”) or at www.globalxetfs.com.au. In respect of each retail product, Global X has prepared a target market determination (TMD) which describes the type of customers who the relevant retail product is likely to be appropriate for. The TMD also specifies distribution conditions and restrictions that will help ensure the relevant product is likely to reach customers in the target market. Each TMD is available at www.globalxetfs.com.au. The information provided in this document is general in nature only and does not take into account your personal objectives, financial situations or needs. Before acting on any information in this document, you should consider the appropriateness of the information having regard to your objectives, financial situation or needs and consider seeking independent financial, legal, tax and other relevant advice having regard to your particular circumstances. Any investment decision should only be made after obtaining and considering the relevant PDS and TMD. Investments in any product issued by Global X are subject to investment risk, including possible delays in repayment and loss of income and principal invested. None of Global X, the group of companies which Mirae Asset Global Investments Co., Ltd is the parent, or their respective directors, employees or agents guarantees the performance of any products issued by Global X or the repayment of capital or any particular rate of return therefrom. The value or return of an investment will fluctuate and an investor may lose some or all of their investment. Past performance is not a reliable indicator of future performance.
Information current as at 18 August 2022.
About Global X ETFs
Global X ETFs is a leading global ETF provider with a growing range of cost-effective and innovation-led products which are built to help investors and their advisers achieve better investment outcomes. While we are distinguished for our Thematic Growth, Income, and International Access ETFs, we also offer Core, Commodity, and Digital Assets funds to suit a wide range of investment objectives. Explore our ETFs, research, and insights, and more at www.globalxetfs.com.au.
Global X is a member of Mirae Asset Financial Group, a global leader in financial services, with more than US$528 billion in assets under management worldwide.¹ Mirae Asset has an extensive global ETF platform ranging across the US, Australia, Brazil, Canada, Colombia, Europe, Hong Kong, India, Japan, Korea, and Vietnam with almost $100 billion in assets under management.²
¹ Assets under management as at March 2023, Mirae Asset Global Investments
² Assets under management as at June 2023, Mirae Asset Global Investments
Click here to view to view our to view our past and current Announcements and Notices.
The physical gold bullion for GOLD is held in the vault(s) of JPMorgan Chase Bank, N.A. in London. The vault is audited twice a year by the auditor Inspectorate. All audit reports are made available in the resources section below. Each gold bar in the vault is itemised in a bar-list which is also available in the resources section below.
Each unit in GOLD comes with an entitlement to an amount of physical bullion. This amount was 0.093512543 fine troy ounces as at 1 January 2021. The entitlement is reduced daily by a management fee of 0.40% per annum.
To redeem physical gold, an investor needs to:
1. Complete and send a redemption form
2. Open an unallocated bullion account with an authorised bullion dealer and
3. Pay a redemption fee of $1,000 for each redemption.
Depending on the quantity of the order, investors may find that selling units in the secondary market is a more cost-efficient option, especially for small quantities.
Gold has a low to negative level of correlation with other asset classes, such as equities and fixed income, and can therefore be used to enhance a portfolio’s overall risk/return characteristics through the benefits of diversification.
Gold has historically performed well during periods of high equity market volatility due to its safe-haven status and can therefore be used as an event risk hedge.
For centuries gold has been used as a store of value and is independent of the value of any fiat currency. As such, gold is commonly cited as a hedge against inflation.
Gold can be used as a strategic investment based on its own fundamentals, which relate to its unique supply and demand characteristics. Supply relates to both mine production and available above-ground stock. Demand primarily comes from:
1. Consumers; in the form of jewellery, bars and coins
2. Industrial users; such as electronics component manufacturers
3. Investors; including direct holders and ETF investors, and
4. Central banks; who maintain large gold reserves
Published by Global X Management (AUS) Limited
ETF
INVESTMENT THEMESINVESTOR EDUCATION
Published by Global X Management (AUS) Limited
Statutory Statement
The issuer of this product is identified at the top of this page. The PDS and target market determination for the product are available in the Documents section of this listing. Prospective investors should consider the PDS before deciding to acquire the product. This product listing was vetted by and approved by the product issuer identified above before publishing. Investment Markets (Aust) Pty Ltd AFSL 527875 (IM) is not the issuer of the product.
General Disclaimer
IMPORTANT STATEMENT ABOUT YOUR USE OF THIS SITE
Information on this site is intended for Australian users only.
This site is operated by Investment Markets (Aust) Pty Ltd. (ACN 634 057 248) (IMA, we, us and our), the holder of Australian Financial Services Licence (AFSL) no. 527875. The content is provided solely for information purposes, is not a recommendation or an offer to buy or sell a security, and is not warranted to be correct, complete or accurate. To the extent permitted by law, neither IMA, its affiliates, nor the content providers (such as the issuers of securities who appear on the site) are responsible for any investment decisions, damages or losses resulting from, or related to, the content, data and analyses or their use. The investment products on this site and any statements made about them by their issuers are not vetted, verified or researched by IMA. The presence of an investment product on this site should not be interpreted as an implied endorsement of it by IMA. Certain content provided may constitute a summary or extract of another document such as a Product Disclosure Statement. To the extent any content is general advice, it has been prepared by IMA. Any general advice has been provided without reference to your investment objectives, financial situations or needs. For more information refer to our Financial Services Guide. To obtain advice tailored to your situation, contact a financial advisor. You should consider the advice in light of these matters and, if applicable, the relevant Product Disclosure Statement (or other offer document) before making any decision to invest. Past performance does not necessarily indicate an investment product’s future performance. The content is current as at date of initial publication and may not be current as at your date of viewing. For a more complete understanding of all the terms and conditions of your use of this site click here.