Commodities: Precious Metals Gold
With 12 ETFs and over $118.20B in combined AUM, the Commodities: Precious Metals Gold segment provides exposure to the Global space with a focus on Gold securities.
Year-to-date, the best-performing ETF in the segment is the Aberdeen Standard Physical Gold Shares ETF (SGOL), with a total return of 22.50%. Meanwhile, the most popular ETF is the SPDR Gold Trust (GLD) with $77.63BB in assets under management.
Investors should take a look at the iShares Gold Trust (IAU). This fund has been chosen as an Analyst Pick by FactSet, thus is the best ETF for the average investor. IAU tracks the gold spot price, less expenses and liabilities, using gold bars held in vaults around the world. IAU has an expense ratio of 0.25% and tracks the Gold Spot.
ETF.com Efficiency Insight
The average efficiency score in the Commodities: Precious Metals Gold segment is 94 out of 100, with the Aberdeen Standard Physical Gold Shares ETF(SGOL) obtaining the highest rating of 100 out of 100.
Costs dominate the discussion around efficiency. ETFs in the segment have an average expense ratio of 0.33% per year, with the Aberdeen Standard Physical Gold Shares ETF (SGOL) having the lowest expense ratio, charging investors 0.17% yearly.
Investors should look for funds with tight tracking, such as the GraniteShares Gold Trust (BAR), with a 12-month median tracking difference of -0.21%.
ETF.com Tradability Insight
The average tradability score in the Commodities: Precious Metals Gold segment is 83 out of 100, with the SPDR Gold Trust(GLD) obtaining the highest rating of 100 out of 100.
The SPDR Gold Trust (GLD) is the undisputed segment leader when it comes to liquidity. The fund trades 2.74B in daily average volume. Investors should also find ample liquidity in the iShares Gold Trust (IAU), with $518.84M in daily dollar volume.
Use limit orders to trade funds such as the ETRACS UBS Bloomberg CMCI Gold Total Return ETN(UBG), due to their double-digit market spreads.
ETF.com Fit Insight
The Gold Spot has been selected as the index that most accurately represents the market in question. The benchmark has been selected by the ETF Analytics team at FactSet, according to a series of guidelines to ensure this index accurately captures its market.
Investors trying to match a broad market exposure should pay attention to SGOL. This fund obtains a high Fit score and investors should capture market-like returns.
Other funds diverge from the market, by nature of their investment mandates; for example, GLDI follows a Buy-write strategy and obtains a low Fit score compared with our neutral benchmark.