Summary
SPDR Gold Trust (GLD) filed its annual report on Form 10-K for the period ending September 29, 2017. The report highlights the Trust's objective to reflect the performance of the price of gold bullion, less expenses. The Trust holds physical gold bullion, acting as a passive investment vehicle. Key operational aspects include the creation and redemption of Shares through Authorized Participants, with gold as the underlying asset. The Trust's expenses, primarily the sponsor's fee, are paid through the sale of gold. The report also details the gold industry landscape, market risks associated with gold price volatility, and the operational framework of the Trust, including its custodian and trustee. For investors, understanding GLD means understanding the price of gold and the trust's expense structure. The report emphasizes that the value of GLD is directly tied to the price of gold, and any fluctuations in gold prices will materially impact the Shares' value. The fee structure, with a 0.40% sponsor's fee, is also a critical factor for investors to consider in their overall return.
Financial Highlights
11 data points| Operating Expenses | $136.08M |
| Operating Income | -$136.08M |
| Net Income | -$1.89B |
| EPS (Basic) | $-6.59 |
| Shares Outstanding (Basic) | 287.35M |
Key Highlights
- 1The SPDR Gold Trust (GLD) aims to provide investors with a convenient and cost-effective way to gain exposure to the price of gold bullion.
- 2Shares of GLD are exchange-traded and backed by physical gold held by a custodian.
- 3The Trust's investment objective is to track the performance of gold prices, less the Trust's expenses.
- 4Expenses, including a 0.40% annual sponsor's fee, are paid by selling gold, which gradually reduces the amount of gold represented by each share over time.
- 5The value of GLD is directly correlated with the market price of gold, and is subject to its volatility.
- 6Creation and redemption of Shares are conducted in Baskets by Authorized Participants, ensuring the Shares' market price generally stays close to the Net Asset Value (NAV) of the underlying gold.
- 7The report details the gold industry's supply and demand dynamics, as well as the operational framework involving the Sponsor, Trustee, and Custodian.