ETF Securities Sees Strong Inflows into Gold
June 27, 2016
PRNEWSWIRE – ETF Securities USA LLC, the sponsor to the ETFS Gold Trust (“the Trust”) today announced that assets in its ETFS Physical Swiss Gold Shares ETF (NYSE Arca: SGOL) have surpassed U.S. $1 billion. Inflows into the third largest gold ETF in the U.S. continue amid volatile equity markets.
About ETFS Physical Swiss Gold Shares (SGOL)
Launched on September 9, 2009, SGOL is one of the leading U.S. commodity-based ETFs which provides investors with simple, secure and cost-effective access to the gold bullion market. SGOL is modelled after the ETFS Gold Bullion Securities (GBS), the first physically-backed precious metal ETF in the world developed by ETF Securities (UK) in 2003*.
Designed to reduce the barriers to investing in gold, SGOL holds physically-allocated gold bullion bars in secure vaults in Zurich, Switzerland with the objective of reflecting the performance of the price of gold bullion, less expenses. The Trust is priced off the London Bullion Market Association’s specifications for Good Delivery, is an internationally recognized and transparent benchmark for pricing physical gold. Inspectorate International Limited, a leading commodity inspection and testing company, inspects the vault two times annually, once at random.
Commenting on this record-setting performance, Steven Dunn, executive director and head of U.S. distribution, said:
“Precious metals, especially gold, remain the cornerstone of our product offering. We believe this performance, while undoubtedly aided by current market conditions, is also due to the ongoing investment we have made in our distribution and research capabilities in recent months. In addition to my appointment in September 2015, we also hired a director of strategic partnerships and a head of U.S. Product Operations. These hires demonstrate our commitment to expanding our U.S. market share and positioning the firm for substantial growth.”
James Butterfill, head of research and investment strategy, added:
“In light of the recent and unexpected Brexit event we have adjusted our year end fair value of gold to $1400. We expect sentiment towards gold to remain buoyant during this extended period of uncertainty. We believe investors are buying gold as an insurance asset, a hedge against tail-risks and spikes in volatility that seem increasingly likely against the backdrop of geopolitical tensions and anti-establishment sentiments in the political arena.”
ETF Securities developed the world’s first gold ETP. Today the company offers the third largest gold ETP in the U.S., the largest gold ETP in Australia and the largest gold ETP platform in Europe. In Europe, ETF Securities gathered 44% of all gold ETP flows since the start of the year.
About ETF Securities
ETF Securities – The intelligent alternative
ETF Securities was founded on the principle of being a specialist ETP provider. We are a proven innovator in commodities, beginning in 2003 as the developer of the world’s first gold ETP.* As the needs of investors evolved, we responded by broadening our product offering across multiple asset classes to become the global influencer we are today.
ETF Securities now offers over 360 ETPs that trade on nine exchanges on four continents. We’re building upon that same history of growth and diversity in the U.S. market, relying on innovation and unique partnerships to enable investors to intelligently diversify their portfolios and seek superior risk-adjusted returns.
For further information, please visit: www.etfsecurities.com.
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