Why did SPDR Gold Trust change its independent auditor?

The SPDR Gold Trust's audit committee approved the dismissal of Deloitte & Touche LLP and the engagement of KPMG LLP as part of a routine auditor change process. The filing indicates no specific reasons beyond this change in auditors.

Were there any issues or disagreements with the previous auditor, Deloitte & Touche LLP?

No, the filing explicitly states that there were no disagreements between the Trust and Deloitte & Touche LLP on any matters of accounting principles, practices, financial statement disclosure, or auditing scope or procedure during the relevant periods.

Does this auditor change signal any problems with GLD's financial reporting?

Based on the information provided in this 8-K filing, there is no indication of problems. The report specifies no disagreements with the outgoing auditor and notes that prior audit reports were without adverse opinions or qualifications. The lack of prior consultation with the new auditor also suggests a standard transition.

What is the significance of appointing KPMG LLP?

KPMG LLP is one of the 'Big Four' accounting firms, indicating that the Trust is engaging a reputable and experienced auditor. This change is a standard corporate governance practice and does not inherently alter the Trust's investment strategy or holdings.

GLD 8-K: Financial Events

Summary

SPDR Gold Trust (GLD) filed an 8-K report on December 1, 2010, primarily to announce a change in its independent registered public accounting firm. Effective November 29, 2010, the Trust's audit committee dismissed Deloitte & Touche LLP and immediately engaged KPMG LLP as the new independent auditor. Importantly, the filing states there were no disagreements with Deloitte & Touche LLP regarding accounting principles, financial statement disclosures, or auditing procedures during the past two fiscal years. Furthermore, Deloitte's prior audit reports were not qualified or contained adverse opinions. The Trust also reported that it had not consulted with KPMG LLP on any accounting matters prior to their engagement. Investors can view this as a routine change in auditors with no red flags raised.

Key Highlights

1SPDR Gold Trust (GLD) has appointed KPMG LLP as its new independent registered public accounting firm, effective November 29, 2010.
2The previous auditor, Deloitte & Touche LLP, was dismissed on the same date.
3The dismissal of Deloitte & Touche LLP was approved by the Trust's audit committee.
4No disagreements regarding accounting principles, financial statement disclosures, or auditing procedures occurred between the Trust and Deloitte & Touche LLP.
5Deloitte & Touche LLP's prior audit reports for the Trust were not adverse, qualified, or disclaimed.
6The Trust did not consult with KPMG LLP on any accounting or auditing matters prior to their engagement.

SPDR GOLD TRUST 8-K Report, Auditor Change (Dec 2, 2010)

Summary

Key Highlights

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