Gold-backed ETFs grows assets by 5%
WGC announces the analysis of gold-backed ETFs and similar products, provides detailed information and insights on global trends in gold investment demand through ETFs. According to the WGC, regional fund flows for US funds captured 73% of global inflows during January, reversing the 2017 trend Global gold-backed ETFs collectively held 2,396 tonnes(t) (US$103.6bn) at the end of January as funds added 27.6t of gold, during the month. Global AUM increased 5% from the end of 2017, benefitting by positive flows and by the price of gold in US dollars which increased 3.7% in January.
Global inflows were dominated by North America, a function of gold prices continuing their late 2017 rally, and the US dollar weakening. North American funds added 21.5t (US$940mn, 1.8% AUM) to their holdings during January. European funds, added 7.6t (US$35mn, 18p AUM), while Asian funds had net outflows of 1.4t (US$33mn, 1% AUM) during the month. Other regions had marginal outflows of 0.1t (US$9mn, 51bp AUM).
US-listed ETFs accounted for 73% of global net inflows in January, reversing the 2017 trend in which European funds dominated net inflows. iShares Gold Trust added 17.8t (US$767mn, 7.6% AUM) and SPDR® Gold Shares accumulated 3.8t (US$179mn, 51bp AUM).
In Europe, db Physical Gold Euro Hedged ETC accumulated 2.3t (US$45mn, 2.7% AUM), while ETFS Physical Gold added 2.3t (US$74mn, 1.2% AUM). Conversely, German-listed Xetra-Gold, the 2017 global leader of inflows, lost 2.4t (US$49mn, 67bp AUM) of gold in January, while London-listed Source Physical Gold lost 1.1t (US$48.5mn, 1.4% AUM). Gold Bullion Securities lost 1.1t (US$63mn, 1.6% AUM).
In Asia, Bosera Gold Exchange Trade Open-End ETF added 1.7t (US$72mn, 6.2% AUM). Huann Yiffu gold lost 2.2t (US$96mn, 12.3% AUM).
Year-to-date trends, 1: North America led global inflows as the gold price continued its late 2017 rally, and the US dollar weakened, 2: US-listed ETFs accounted for 73% of global net inflows in January, reversing the 2017 trend in which European funds dominated net inflows & 3: The weaker US dollar and sharp increase in the price of gold has led to strong inflows in the US.