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Largest Bullion ETF’s Assets Cut in Half on Gold Plunge, Outflows


The largest bullion-backed ETF has seen its assets cut in half from its 2011 peak due to a combination of tumbling gold prices and investor redemptions.

SPDR Gold Shares (GLD) in 2011 briefly surpassed SPDR S&P 500 (SPY) as the biggest ETF in the world. [Can Gold Fund Reclaim Title of World’s Largest ETF?]

In August 2011, GLD’s assets topped out at $77.5 billion. The gold fund currently holds $38.5 billion.

GLD is down about 23% for the trailing three months. The fund has experienced net outflows of $18.2 billion year to date, according to IndexUniverse data.

Other bullion-backed ETFs include iShares Gold Trust (IAU) and ETFS Physical Swiss Gold Shares (SGOL). [Gold ETFs on Track for Worst Quarter Ever]

The gold fund has fallen to fifth place among the largest ETFs. SPY is currently the biggest by a wide margin with about $133 billion.

After SPY, the largest ETFs are Vanguard FTSE Emerging Markets (VWO), iShares Core S&P 500 (IVV) and iShares MSCI EAFE (EFA).

SPDR Gold Shares

Full disclosure: Tom Lydon’s clients own GLD and SPY.

The opinions and forecasts expressed herein are solely those of John Spence, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.