Monday, April 17, 2017

Gold ETFs Do Not Always Do The Same

Generally, gold ETFs should behave in the same way. For example, when one gold ETF accumulates gold, the other ETFs should do the same. However, sometimes it is not the case. Look at these two charts:

source: Simple Digressions

Note that in January the first gold ETF, IAU, accumulated 125.2 thousand ounces of gold (its total gold holdings increased by this amount of gold) but its much larger counterpart, GLD, decreased its holdings by 742.7 thousand ounces.

Over the next months both ETFS were doing the same:
  • added gold in February and April (up-to-date)
  • got rid off the gold in March
Interestingly, gold prices were going down or got stuck only in March, when both ETFs were selling gold...


  1. Anche nugt e jnug non fanno sempre uguale. Oggi penso che jnug riesca a doppiare nugt (8% contro 4%).

    1. Alberto,

      There is some mess about GDXJ and JNUG. That is why GDXJ is now a very misleading vehicle.