5 Biggest Gold ETFs in 2024 (2024)

FAQs

What is the highest performing gold ETF? ›

The world's largest gold exchange traded funds (ETFs) by assets under management (AUM) GDX, Vaneck Vectors Gold Miners ETF ($13.26 billion) and GLD, SPDR Gold Trust ETF ($61.71 billion), have seen a net outflow of $3.946 billion calendar year to date (CYTD), S&P Global Market Intelligence said in a recent note.

IAU - Performance Comparison. The year-to-date returns for both investments are quite close, with GLD having a 13.29% return and IAU slightly higher at 13.35%. Both investments have delivered pretty close results over the past 10 years, with GLD having a 6.12% annualized return and IAU not far ahead at 6.33%.

Downsides of gold ETFs include exposure to counterparty risk, annual fees, and the possibility the fund fails to properly track the price of gold. Another drawback is that you don't physically own the gold.

Physical Gold: Physical gold is less susceptible to market fluctuations and is often viewed as a stable store of value, especially in times of economic uncertainty. Gold ETFs: While ETFs provide convenient market exposure, they are subject to stock market volatility, fund management risks, and tracking errors.

BlackRock's iShares is the largest provider of ETFs as calculated by assets under management. Other major ETF providers include Vanguard, State Street, Invesco, and Charles Schwab.

How to choose a gold ETF? ›

Look at the fund's performance over the last few years to get a clear idea of how well the fund managers handle the accounts. Keep an eye on the gold price trends before you start transacting. Just like with stocks, you may want to buy gold ETFs at low prices and sell them as prices go up.

Compared to buying and storing physical gold bullion, a gold ETF offers lower transaction fees, better liquidity and access to a brokerage account. Our pick for the best overall gold ETF goes to SPDR Gold MiniShares Trust (GLDM).

The largest gold exchange-traded fund, or ETF, by a wide margin, is the SPDR Gold Trust, the go-to way for investors looking to play the precious metal. It boasts roughly $59 billion in assets under management, more than double that of the next closest gold ETF.

The Trust has full ownership rights to the specific bars of gold allocated to the Trust's allocated account.

Leveraged Gold ETFs seek to provide investors with a magnified daily or monthly return of gold prices. The funds use futures contracts to accomplish their goals and can be either long or inversed. The level of magnification is included in their descriptions and are generally 2x or 3x, or -2x or -3x .

Security Advantage: Unlike physical gold, gold ETFs eliminate concerns about theft or storage costs, making them a secure investment. Inflation Hedge and Market Resilience: Gold ETFs serve as a hedge against inflation and market volatility, offering stability during uncertain times.