Summary
The SPDR Gold Trust (GLD) 10-K filing for the period ending September 29, 2021, details its structure as an investment trust holding physical gold bullion. The Trust's primary objective is for its Shares (GLD) to track the performance of the gold price, less expenses. It achieves this by holding gold bars, with BNY Mellon Asset Servicing as the Trustee and HSBC Bank plc as the Custodian. The Trust is not actively managed and generally only sells gold to cover operational expenses. Key operational aspects include the creation and redemption of Shares through Authorized Participants, who exchange gold for Shares or vice versa. The Trust's Net Asset Value (NAV) is determined daily based on the LBMA Gold Price PM. The filing highlights that the Trust does not hold derivatives and its performance is directly tied to the price of gold, with expenses being the primary drag on performance. Significant risk factors include gold price volatility, the potential for large-scale gold sales by official sectors, and risks associated with gold custody.
Financial Highlights
10 data points| Operating Expenses | $257.60M |
| Net Income | -$5.75B |
| EPS (Basic) | $-15.25 |
| Shares Outstanding (Basic) | 376.93M |
Key Highlights
- 1The SPDR Gold Trust aims to provide investors with a cost-effective and convenient way to gain exposure to the price of gold bullion.
- 2The Trust holds physical gold bullion, with its Net Asset Value (NAV) directly linked to the fluctuating market price of gold, as determined by the LBMA Gold Price PM.
- 3Shares (GLD) are created and redeemed by Authorized Participants, who exchange physical gold for Shares or vice versa.
- 4The Trust's primary expenses are covered by the sale of a small portion of its gold holdings, which can lead to a gradual decrease in the amount of gold represented by each Share over time.
- 5Key service providers include World Gold Trust Services, LLC (Sponsor), BNY Mellon Asset Servicing (Trustee), and HSBC Bank plc (Custodian).
- 6Significant risk factors include the inherent volatility of gold prices, potential issues with gold custody and storage, and the impact of large-scale gold sales by official entities.
- 7The Trust is not an investment company registered under the Investment Company Act of 1940 and does not trade commodity futures, thus investors do not have the protections associated with those regulatory frameworks.