A gold exchange traded fund that allows investors to take physical delivery of gold bullion in exchange for ETF shares has made it cheaper to make the swap.
“Investors appreciate the ease of buying gold through an ETF, but foremost, they want to be assured the gold is really there for them. Now, we are reaffirming on our commitment to provide investors with easy and cost-effective access to their gold,” Axel Merk, President of Merk Investments, the sponsor of VanEck Merk Gold Trust (NYSE Arca: OUNZ), said in a note.
OUNZ investors may request delivery of London Bars held by the Trust and exchange their shares for gold coins or bars. The previous minimum fees have been replaced with a flat fee to make smaller delivers more economical.
Effective September 8, the cost of taking delivery of 20 1oz Australian bars is reduced by 30%; the cost of taking delivery of 100 1oz Australian bars is reduced by 27%; the cost of taking delivery of 1 London Bar is reduced by 58%; and the cost of taking delivery of 50 London Bars is reduced by 96%. Investors may find the fully updated exchange fees at merkgold.
Investors should also note that taking delivery of gold will not trigger a taxable event since OUNZ shareholders own a pro-rata share of gold held by the Merk Gold Trust.