Video

CEO Explains Why this Gold ETF Doesn’t Have the Traditional Market Cap Weighting

October 11, 2017

There are two types of gold ETFs: those that invest in physical gold and those that invest in gold stocks. The new U.S. Global GO GOLD and Precious Metal Miners ETF (GOAU), launched June 28, falls in the latter category.

Moments after the closing bell on the New York Stock Exchange, U.S. Global Investors CEO and chief investment officer Frank Holmes explains what makes GOAU different in the crowded gold space. Unlike the competition, he says, the companies in the fund aren’t weighted based on market cap.
So what are its factors then? Watch the video below to find out!

The S&P 500 Index is a widely recognized capitalization-weighted index of 500 common stock prices in U.S. companies.

The investment objective of the SPDR Gold Trust is for SPDR Gold Shares (GLD) to reflect the performance of the price of gold bullion, less the Trust’s expenses. For information regarding the investment objectives, strategies, liquidity, risks, expenses and fees of the SPDR Gold Trust, please refer to the prospectus for that fund.

Cash flow is the total amount of money being transferred into an out of a business, especially as affecting liquidity.

Diversification does not protect an investor from market risks and does not assure a profit.
ETF Trends publisher Tom Lydon is on the board of U.S. Global Investors.

All opinions expressed and data provided are subject to change without notice. Opinions are not guaranteed and should not be considered investment advice.