Gold ETF Funds Go Negative Again (GLD, IAU)
Christian Magoon: Gold ETF funds once again turned negative for the year after Wednesday’s trading session had a “risk off” tone as investors awaited the latest from discussions involving Europe and Iran. An informal meeting of European leaders occurred in Brussels with many speculating the fate of the German push for EU austerity and the continued membership of Greece to be topics of conversation. Meanwhile Western and Iranian leaders met on Wednesday in Iraq with speculation that progress would be made on the nuclear issue thus lowering the risk premium in oil prices.
Here’s the snapshot of all gold ETF funds from the most recent performance grid from GoldETFs.biz.
Despite a negative return this year, gold ETF funds have continued to see inflows according to Barron’s. The SPDR Gold Trust (NYSEARCA:GLD) and the iShares Gold Trust (NYSEARCA:IAU) saw about $200 million in new assets last week after gold ETF funds rebounded in performance after a recent swoon. Here’s the more detailed performance chart of all gold ETF funds showing positive one week performance but losses over the last month.
In early trading on Thursday the largest of the gold ETF funds, the SPDR Gold Trust is trading in positive territory. Here’s the quote from Yahoo Finance.
Christian Magoon is Publisher of GoldETFs.biz and IndiaETFs.com. He is also CEO of Magoon Capital, a strategic consultant firm to asset managers. Christian Magoon is an ETF insider, having launched over 40 ETFs in the United States to date. A widely recognized thought leader on finance and market issues, Christian regularly contributes to many financial media outlets. Prior to forming Magoon Capital in 2010, Christian was President of Claymore Securities (now Guggenheim Investments), where he built one of the fastest growing and most innovative ETF businesses in the country, gathering more than $3 billion in AUM in three years. He launched more than 40 ETFs, introducing many “firsts” to the U.S. market, including the first Frontier Markets, Sector Rotation, Solar Energy, Timber, BRIC and suite of China focused ETFs. Christian consistently provides his industry insights and knowledge as a commentator in the U.S. media speaking publicly on macro investment issues and ETF related topics. Follow him on Twitter@ChristianMagoon. In 2008, he was named by Institutional Investor News as one of the five people to watch in the U.S. ETF marketplace. In 2011, Financial Planning magazine dubbed Christian an “ETF Pioneer.”