Nevertheless, gold prices are still up 40% from last year. Fundamental factors that could support the metal include currency debasement, economic uncertainty and inflation worries. [Gold ETFs Slightly Lower As Markets Eye Bernanke]
Physically-backed ETFs are one of the easiest and most economical ways to gain exposure to the metal. They include:
- SPDR Gold Trust (NYSEArca: GLD): This is the largest gold ETF, with $71.8 billion in assets, and an average daily trading volume of 24.6 million shares per day. Its year-to-date return is 28.11%.
- iShares Gold Trust (NYSEArca: IAU): About $9.75 billion in assets under management and an average daily trading volume of 13.5 million shares. The year-to-date return is 28.2%.
- ETFS Physical Swiss Gold Shares (NYSEArca: SGOL): This fund holds physical gold in Swiss vaults. Assets are at $1.63 billion and average daily trading volume is at 306,000 shares. The year-to-date return on this ETF is 13.91%.This is the newest of the physically-backed gold ETFs, launched in September 2009.
SPDR Gold Trust
Tisha Guerrero contributed to this article.
Full disclosure: Tom Lydon’s clients own GLD.