What was the primary driver of the iShares Gold Trust's performance during this period?

The primary driver of the iShares Gold Trust's (IAU) performance was the significant increase in the price of gold bullion. The Trust's net asset value and net asset value per share saw substantial gains, directly reflecting the appreciation of its underlying gold holdings.

How did investor activity impact the Trust?

Investor demand was robust, as evidenced by the significant issuance of new shares (226.05 million shares) during the first six months of 2016. This suggests investors were actively seeking exposure to gold through the Trust, while redemptions were comparatively lower.

What are the main expenses of the iShares Gold Trust?

The primary 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. Other administrative and operating expenses are largely assumed by the Sponsor, keeping the Trust's direct expenses minimal.

What is the main risk associated with investing in the iShares Gold Trust?

The main risk associated with investing in the iShares Gold Trust is concentration risk. Since the Trust's assets consist almost entirely of gold bullion, its performance is directly and solely dependent on the price of gold. Any decline in gold prices will adversely affect the value of the Trust's shares.

IAU 10-Q Quarterly Report Q2 FY2016 — Revenue, Net Income, EPS

Summary

This filing for the iShares Gold Trust (IAU) for the period ending June 30, 2016, indicates a substantial increase in the Trust's assets, primarily driven by a significant rise in the price of gold during the first half of the year. The net asset value per share saw a considerable gain, reflecting the positive performance of gold bullion. The Trust experienced substantial inflows of shares, suggesting increased investor demand for gold exposure through this vehicle, while redemptions remained comparatively lower. Operating expenses for the Trust remain minimal, largely consisting of the Sponsor's fee, as other administrative costs are borne by the Sponsor. The Trust's performance is directly tied to the price of gold, and investors should note the concentration risk associated with this single commodity. The period demonstrated strong positive returns for IAU, aligning with the upward trend in gold prices.

Financial Highlights

9 data points

Beta

Net Income

$510.24M

EPS (Diluted)

$1.56

Cash & Equivalents

$0.00

Free Cash Flow

$0.00

Financial Statements

Beta

Operating Expenses	$4.89M
Operating Income	-$4.89M
Net Income	$510.24M
EPS (Basic)	$1.56
Shares Outstanding (Basic)	325.07M

Key Highlights

1The Trust's Net Assets increased significantly by approximately 69.64% from $5.21 billion at December 31, 2015, to $8.84 billion at June 30, 2016.
2Net Asset Value (NAV) per Share grew by approximately 24.20% from $10.25 at the beginning of the period (December 31, 2015) to $12.73 at the end of the period (June 30, 2016).
3The Trust experienced substantial share creation, with 226.05 million Shares issued during the first six months of 2016, indicating strong investor inflows.
4Gold bullion held by the Trust, valued at fair value, increased from $5.21 billion to $8.84 billion during the reporting period.
5The Trust's performance is directly linked to the price of gold, which saw a significant increase during the first half of 2016.
6Sponsor's fees are the primary expense, amounting to $9.07 million for the six months ended June 30, 2016, representing an annualized expense ratio of 0.25% of average net assets.
7The Trust holds only gold bullion as its primary asset, resulting in a high concentration risk tied to gold price fluctuations.

ISHARES GOLD TRUST Quarterly Report for Q2 Ended Jun 30, 2016

Summary

Financial Highlights

Key Highlights

Frequently Asked Questions