10-QPeriod: Q3 FY2023

ISHARES GOLD TRUST Quarterly Report for Q3 Ended Sep 30, 2023

Filed November 3, 2023For Securities:IAU

Summary

This 10-Q filing for iShares Gold Trust (IAU) for the period ending September 29, 2023, indicates a net decrease in net assets of $2.93 billion for the quarter, primarily driven by a significant net decrease in shares outstanding due to redemptions exceeding creations. The Trust's net asset value (NAV) per share decreased by 2.24% to $35.42 during the quarter, mirroring a 2.18% decrease in the price of gold. For the nine-month period, the Trust experienced a net increase in net assets of $2.12 billion, with NAV per share rising by 3.03% to $35.42, supported by an increase in the price of gold. The Trust's holdings are solely gold bullion, valued at $24.66 billion as of September 30, 2023. Key financial metrics show a decrease in total assets from $26.16 billion at year-end 2022 to $24.66 billion at the end of the reported quarter. The number of shares outstanding also decreased from 760.7 million at year-end 2022 to 696.1 million at the end of the quarter. The Trust's primary expense is the Sponsor's fee, which amounted to $17.07 million for the quarter and $51.70 million for the nine-month period. Despite the quarterly decrease in NAV, the nine-month performance reflects a positive return, influenced by gold price movements and share transactions.

Financial Highlights

6 data points
Beta

Net Income

-$555.88M

EPS (Diluted)

$-0.75

Free Cash Flow

$0.00

Financial Statements
Beta
Operating Expenses$17.07M
Operating Income-$17.07M
Net Income-$555.88M
EPS (Basic)$-0.75

Key Highlights

  • 1Net assets decreased by $2.93 billion in the third quarter of 2023, largely due to net redemptions of shares.
  • 2Net asset value (NAV) per share for the Trust decreased by 2.24% to $35.42 in Q3 2023.
  • 3Gold bullion holdings were valued at $24.66 billion as of September 30, 2023, a decrease from $26.16 billion at year-end 2022.
  • 4Shares outstanding decreased by approximately 64.6 million in the third quarter, with redemptions significantly outweighing creations.
  • 5For the nine months ended September 30, 2023, the Trust saw a net increase in net assets of $2.12 billion.
  • 6The Trust's total expenses for the nine-month period were $51.70 million, primarily consisting of Sponsor's fees.
  • 7The Trust's primary risk is concentration in gold bullion, making its performance directly tied to gold price fluctuations.

Frequently Asked Questions

The primary asset held by iShares Gold Trust (IAU) is gold bullion. The Trust aims to reflect the performance of the price of gold.

The Trust's total assets decreased from $26,160,403,750 at December 31, 2022, to $24,661,114,779 at September 30, 2023. This decrease is primarily due to the net redemptions of shares and fluctuations in the price of gold.

The main expense for the iShares Gold Trust is the Sponsor's fee, which is accrued daily at an annualized rate of 0.25% of the Trust's net asset value. Other administrative expenses are largely covered by the Sponsor.

Individual investors cannot directly buy or sell shares with the Trust. Shares are issued and redeemed by the Trust in exchange for gold bullion in large aggregations (Baskets) only with Authorized Participants. Individual investors typically buy and sell shares on a stock exchange, such as NYSE Arca (ticker symbol IAU), through a broker.