ETF Securities USA has launched ETFS Physical Swiss Gold Shares, which reflect the performance of the price of gold bullion, less the trust’s operating expenses.
ETF Securities USA has launched ETFS Physical Swiss Gold Shares, which reflect the performance of the price of gold bullion, less the trust’s operating expenses.
The trust is open ended and is designed for investors to gain exposure into physical gold in a cost-effective way as well as diversify their gold holdings across issuer, custodian and geographies.
ETFS Physical Swiss Gold Shares are backed by physical gold bullion held by J.P. Morgan in fortified vaults in Zurich, Switzerland. The shares represent a direct interest in physical gold bullion owned by the trust. Shares can only be issued when bullion is delivered into the trust account at the custodian’s vault, which is independently inspected twice a year by Inspectorate International. An appointed trustee must approve all deposits and withdrawals of bullion held by the custodian.
The physical gold bullion of the trust is subject to minimal counterparty or credit risks, which differentiates with other product offerings that achieve bullion exposure through the use of derivatives.
The launch of ETFS Physical Swiss Gold Shares follows the launch by ETF Securities USA of ETFS Silver Trust on 24 July. The trust has gathered over USD111m in assets under management as of 3 September with daily volumes averaging USD2m.
William Rhind, head of sales and marketing for ETFS Marketing, says: ‘The launch of ETFS Physical Swiss Gold Shares highlights ETF Securities commitment to the US market. We are very proud to introduce the first ETF backed by physical gold held in Switzerland to the US market. Investors have been asking us for a long time to develop a product that stores its gold in Switzerland. As a result of that feedback, we are excited to be able to offer investors a new way to invest in the gold market and an efficient way to geographically diversify their gold holdings.’
