What was the overall performance of the iShares Gold Trust (IAU) during the third quarter of 2015?

During the third quarter of 2015, the iShares Gold Trust (IAU) experienced a decrease in its net asset value. The net asset value fell by 8.91% from $6,315,819,381 at the end of Q2 2015 to $5,752,782,153 at the end of Q3 2015. This decline was primarily driven by a 4.87% decrease in the LBMA Gold Price PM during the same period.

How did the net asset value per share change from the beginning of the year to the end of the third quarter of 2015?

The net asset value per share for the iShares Gold Trust (IAU) decreased from $11.61 at December 31, 2014, to $10.76 at September 30, 2015. This represents a 7.32% decline, closely mirroring the 7.11% decrease in the price of gold over the same nine-month period.

What are the main expenses incurred by the Trust, and how are they managed?

The primary ongoing expense for the iShares Gold Trust is the Sponsor's fee, which accrues daily at an annualized rate of 0.25% of the net asset value. The Sponsor also assumes other administrative and marketing expenses, such as trustee fees, custodian fees, listing fees, and audit fees, which helps to limit the direct expenses borne by the Trust.

What is the significance of the change in the gold price benchmark mentioned in the filing?

The filing notes that the Trust transitioned from using the London PM Fix to the LBMA Gold Price PM for valuing its gold holdings in March 2015. This change introduced updated risk factors related to the new benchmark's administration and potential disruptions, as the LBMA Gold Price PM is a newer mechanism administered by ICE Benchmark Administration.

IAU 10-Q Quarterly Report Q3 FY2015 — Revenue, Net Income, EPS

Summary

The iShares Gold Trust (IAU) 10-Q filing for the period ending September 30, 2015, indicates a decline in the Trust's net assets and net asset value per share during the third quarter. This decrease is primarily attributed to a decline in the LBMA Gold Price PM, which fell by 4.87% from the previous quarter. The Trust's total assets decreased from $6,214,710,000 at December 31, 2014, to $5,753,973,000 at September 30, 2015. Net asset value per share also decreased from $11.61 at year-end 2014 to $10.76 at the end of the third quarter of 2015. Operational performance for the nine months ended September 30, 2015, showed a net decrease in net assets of $489,957,766. This was driven by a net investment loss and a significant net change in unrealized depreciation of the gold bullion. Despite a net decrease in outstanding shares over the period, the primary driver of the NAV decline was the decrease in the spot price of gold. Investors should note the ongoing management of the benchmark used for gold price valuation, with a transition from the London PM Fix to the LBMA Gold Price PM in March 2015, and the associated risk factors discussed.

Financial Highlights

9 data points

Beta

Net Income

-$317.37M

EPS (Diluted)

$-1.18

Cash & Equivalents

$0.00

Free Cash Flow

$0.00

Financial Statements

Beta

Operating Expenses	$3.71M
Operating Income	-$3.71M
Net Income	-$317.37M
EPS (Basic)	$-1.18
Shares Outstanding (Basic)	270.65M

Key Highlights

1Net assets decreased by 7.41% from $6,213,387,199 on December 31, 2014, to $5,752,782,153 on September 30, 2015.
2Net asset value per share declined by 7.32% from $11.61 at the end of 2014 to $10.76 at the end of the third quarter of 2015.
3The primary driver for the decrease in net asset value was the decline in the price of gold, which fell by 7.11% during the first nine months of 2015.
4The Trust experienced a net investment loss of $11,678,000 for the nine months ended September 30, 2015.
5There was a net change in unrealized depreciation of $444,580,779 on the investment in gold bullion for the nine months ended September 30, 2015.
6The Sponsor's fee rate remained at 0.25% of the net asset value.
7The Trust transitioned from the London PM Fix to the LBMA Gold Price PM for gold valuation in March 2015, with updated risk factors related to this benchmark.

ISHARES GOLD TRUST Quarterly Report for Q3 Ended Sep 30, 2015

Summary

Financial Highlights

Key Highlights

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