According to monthly statistics from the World Gold Council (WGC), investors have invested more money in gold ETFs in the past six months than ever before in such a period. Most recently, there were cash inflows into this gold-backed fund for seven consecutive months. In June, the world’s largest gold ETFs would have stored an additional 102 tons of gold to cover the shares. The equivalent: $ 5.6 billion.
3,621 tons of gold
According to the WGC, global stocks of ETF gold have risen to a new record high of 3,621 tons. In the first half of the year alone, 734 tons of gold were added. It even beat the year 2016 with the highest demand so far (USD 23 billion; 646 tons) in terms of value and tons.
The market is dominated by US funds, such as SPDR Gold Shares (US stock symbol: GLD). This ETF and number two, the iShares Gold Trust (IAU), represented 67 percent of the global gold ETF market in June. Example of gold deposit: A GLD share certificate is officially covered with 1/10 ounce gold. A physical delivery of the purchased ETF gold is only possible in exceptional cases. That is why gold ETFs ultimately have to be classified as “paper gold”.