10-K: Goldman Sachs Gold ETF Sees Soaring Assets, Price Gains

The Goldman Sachs Physical Gold ETF reported significant growth in net assets and gold holdings for the fiscal year ended December 31, 2025, driven by a substantial increase in gold prices.

Summary

• The Trust's investment objective is to reflect the performance of the price of gold less the expenses of its operations.
• Net Assets increased to $2,542,528,842 as of December 31, 2025, from $889,603,323 at December 31, 2024.
• Net Asset Value (NAV) per Share rose to $42.51 at December 31, 2025, compared to $25.81 at December 31, 2024.
• The price of gold increased by 67.29% to $4,367.80 per ounce at December 31, 2025, from $2,610.85 at December 31, 2024.
• Gold holdings grew to 590,283.0 ounces at December 31, 2025, up from 340,786.6 ounces at December 31, 2024.
• The net increase in net assets resulting from operations for the year ended December 31, 2025, was $783,446,114.
• The Sponsor Fee for 2025 was $2,943,778, calculated at an annualized rate of 0.18% of the Trust's Net Asset Value.
• Net realized and unrealized gain from operations amounted to $786,389,892 for the year ended December 31, 2025.
• During 2025, 26,988,722 shares (1,080 Baskets) were created, and 1,650,000 shares (66 Baskets) were redeemed.

Sentiment

Score: 8

Explanation: StockSavvy.ai views this as a very positive report, primarily driven by the substantial appreciation in gold prices and significant growth in the Trust's assets and NAV per share, indicating strong investor interest and favorable market conditions for gold.

Positives

• Net Assets more than doubled, increasing from $889,603,323 in 2024 to $2,542,528,842 in 2025.
• Net Asset Value per Share significantly increased from $25.81 to $42.51 year-over-year.
• The price of gold experienced a substantial increase of 67.29% to $4,367.80 per ounce at year-end 2025.
• Gold holdings grew by over 73% from 340,786.6 ounces to 590,283.0 ounces.
• The Trust reported a strong net increase in net assets from operations of $783,446,114 for the year.
• Net realized and unrealized gains from operations were robust at $786,389,892.
• Disclosure controls and procedures were evaluated as effective as of December 31, 2025.
• Internal control over financial reporting was maintained effectively as of December 31, 2025.

Negatives

• The Trust's only ordinary recurring expense is the Sponsor Fee (0.18% of NAV), which continuously decreases the amount of gold represented by each share over time.
• Investors do not have the right to take physical delivery of the gold bullion in exchange for their shares.
• Shares may trade at a discount or premium to Net Asset Value, potentially widening due to non-concurrent trading hours between the Cboe BZX Exchange and major gold markets.
• There is no assurance that an active trading market for the Shares will be maintained, which could adversely affect liquidity and sale price.
• Investors lack the statutory rights normally associated with ownership of shares of a corporation, such as voting on most matters or bringing oppression/derivative actions.
• The Trust is not registered as an investment company under the 1940 Act nor regulated by the CFTC as a commodity pool, meaning investors do not receive associated regulatory protections.
• The Trust may be required to terminate and liquidate at a time disadvantageous to investors, such as when gold prices are low.
• Gold held in the Unallocated Account and Authorized Participants' unallocated accounts is not segregated from the Custodian's assets, exposing the Trust and participants to unsecured creditor risk in case of Custodian insolvency.
• The Trust does not insure its gold, and investors are not beneficiaries of the Custodian's insurance, exposing them to potential losses for which no person is liable.

Risks

• The international gold market has experienced historically high trading prices, and there is no assurance these prices will be sustained, potentially leading to significant decreases in the Trust's net assets and NAV.
• Substantial sales of gold by central banks, governmental agencies, and multi-lateral institutions could adversely affect an investment in the Shares.
• The Trust invests only in gold, making it undiversified and potentially more volatile than a broadly diversified portfolio.
• Gold is comparatively less liquid than other commodities, and fluctuations in its price directly impact Share value.
• Concerns about the integrity or reliability of the LBMA Gold Price PM or AM could adversely affect investor interest in gold and the price of gold and Shares.
• The sale of other investment vehicles tracking gold markets (ETVs) could negatively affect gold prices and the price and Net Asset Value of the Shares.
• Factors such as increased gold hedging, negative speculator sentiment, widening interest rate differentials, and improved economics of selling gold forward could cause a decline in gold prices.
• The value of the Shares fluctuates based upon the price of gold, exposing investors to potential losses.
• Geopolitical incidents, including the Israel-Hamas war and the war in Ukraine, along with associated sanctions, can increase financial market volatility and impact gold prices and Share value.
• The amount of gold represented by each Share will decrease when the Trustee sells gold to pay Trust expenses, requiring gold price increases to maintain Share value.
• The Trust may suspend redemptions of Baskets by Authorized Participants, affecting Share price and liquidity.
• The withdrawal of an Authorized Participant or substantial redemptions could affect the liquidity of the Shares.
• Unanticipated difficulties in the creation and redemption process could hinder arbitrage and cause the Share price to diverge from the gold price.
• Reliance on potentially incorrect information from the Custodian for Basket issuance could lead to incorrect gold deposits.
• The value of the Shares will be adversely affected if the Trust is required to indemnify the Sponsor, Trustee, or Custodian.
• Investors do not have the rights normally associated with ownership of shares of other types of investment vehicles, including limited voting rights.
• By accepting a Share, investors consent to New York jurisdiction and waive claims that a New York court is an inconvenient venue.
• Investors will not have the protections normally associated with ownership of shares in an investment company registered under the 1940 Act or the protections afforded by the Commodity Exchange Act.
• The Trust may be required to terminate and liquidate at a time that is disadvantageous to investors.
• The Trust may be negatively impacted by the effects of public health emergencies on the global economy, markets, and service providers.
• Future governmental decisions may have a significant impact on the price of gold.
• Unanticipated operational or trading problems could arise, materially adversely affecting an investment in the Shares.
• The Trust is exposed to various operational risks, including human error, information technology failures, and non-compliance with procedures.
• The Trust relies on the information and technology systems of its service providers, which could be adversely affected by interruptions, cybersecurity attacks, or other disruptions.
• The Sponsor has limited experience with a trust whose only assets are gold.
• Conflicts of interest may occur if the Sponsor or its affiliates manage other accounts, funds, or trusts that invest in physical gold or other precious metals.
• The Sponsor and the Trustee may amend the Trust Agreement without the consent of any investor, potentially affecting existing rights or fees.
• U.S. investors who are individuals, estates, or trusts may be subject to a maximum federal income tax rate of 28% on long-term capital gains from gold.
• The purchase of Shares by an IRA or Tax-Qualified Account may constitute the acquisition of a collectible or be treated as a tax distribution.
• Investors may recognize income for federal income tax purposes in the absence of a corresponding cash distribution.
• Gold owned by the Trust may be subject to loss, damage, destruction, mis-delivery, theft, or restriction on access.
• The gold bullion custody operations of the Custodian are not subject to specific governmental regulatory supervision.
• A court hearing a legal dispute concerning the custody arrangement may disregard the choice of U.K. law and apply U.S. law, potentially frustrating the Trust's ability to seek legal redress.
• Investors and Authorized Participants lack the right under the Custody Agreement to assert claims directly against the Custodian.
• Failure by the Custodian to exercise due care in safekeeping the Trust's gold could result in a loss to the Trust.
• Gold held in the Unallocated Account is generally not segregated from the Custodian's assets, making the Trust an unsecured creditor in case of Custodian insolvency.
• The Trust lacks insurance protection for its gold, and investors have limited rights of legal recourse against the Trust and its service providers.

Future Outlook

The report contains forward-looking statements regarding future events or performance, including changes in commodity prices and market conditions for gold and the Shares, the Trust's operations, and the Sponsor's plans. Actual events or results may differ materially due to various risks and uncertainties, including economic conditions, regulatory changes, and global political developments. No assurance is given that actual results will conform to expectations.

Management Comments

• The Trust's disclosure controls and procedures were effective as of December 31, 2025.
• The Trust maintained effective internal control over financial reporting as of December 31, 2025.

Industry Context

StockSavvy.ai notes that the significant increase in the Trust's net assets and gold holdings aligns with a broader trend of rising investor interest in gold as a store of value, particularly amidst global economic uncertainties and geopolitical tensions. The 67.29% increase in gold price reflects strong market demand, outperforming many traditional asset classes. The ETF structure provides an accessible alternative to direct physical gold ownership, appealing to a wider range of investors seeking exposure to the commodity market without the complexities of physical storage and insurance.

Comparison to Industry Standards

• The Trust's 0.18% Sponsor Fee is competitive within the physical gold ETF market, often lower than some actively managed gold funds or the cumulative costs of direct physical gold ownership (storage, insurance).
• The 64.70% Total Return at NAV for 2025 significantly outperforms the average S&P 500 return for a typical year, highlighting gold's strong performance in the reported period.
• The growth in gold holdings from 340,786.6 ounces to 590,283.0 ounces indicates strong investor inflows, comparable to other leading physical gold ETFs that have seen increased demand.

Management Changes

Corporate Governance

Related Party Transactions

• Goldman Sachs Asset Management, L.P. (Sponsor) is an indirect, wholly-owned subsidiary of The Goldman Sachs Group, Inc. and an affiliate of Goldman Sachs & Co. LLC.
• The Sponsor receives an annualized fee of 0.18% of the Trust's Net Asset Value for its services.
• The Sponsor assumes payment of various Trust expenses, including Trustee fees, Custodian fees, marketing, listing, registration, printing, website maintenance, audit, and routine legal fees, up to a Fee Cap (greater of $500,000 per annum or 0.15% of the average total value of gold held by the Trust).
• Affiliates of The Bank of New York Mellon (Trustee) may from time to time act as Authorized Participants or purchase/sell gold or Shares for their own account or as agents for customers.
• Goldman Sachs & Co. LLC, an affiliate of the Sponsor, has signed an Authorized Participant Agreement with the Sponsor and the Trustee.

Stakeholder Impact

• Shareholders: Benefit from the significant increase in gold price and NAV, but are exposed to gold price volatility, lack of direct physical gold delivery rights, and limited voting rights. They bear tax implications on gains.
• Authorized Participants: Facilitate creation and redemption of Baskets, earning transaction fees (though the $500 fee can be waived). They face risks related to unallocated gold accounts and potential suspension of redemptions.
• Sponsor (Goldman Sachs Asset Management, L.P.): Receives a Sponsor Fee (0.18% of NAV) and benefits from increased assets under supervision. Bears responsibility for certain Trust expenses up to a Fee Cap.
• Trustee (BNYM): Receives fees for ordinary services (paid by Sponsor) and is responsible for day-to-day administration.
• Custodian (JPMorgan Chase Bank, N.A., London branch): Responsible for safekeeping gold and facilitating transfers. Receives fees from the Sponsor. Faces liability limitations and is not subject to specific governmental regulatory supervision for gold custody.

Next Steps

• The Sponsor will continue to develop marketing plans and materials for the Trust on an ongoing basis.
• The Sponsor will maintain the Trust's website.
• The Sponsor may engage a specialist bullion assaying firm to provide inspections of the gold bullion held on behalf of the Trust.
• An audit is expected to be conducted by an independent bullion auditor at least annually.

Key Dates

Recommendation

The Goldman Sachs Physical Gold ETF demonstrates exceptional performance for the fiscal year 2025, with net assets more than doubling and NAV per share increasing by over 64%. This is primarily driven by a robust 67.29% surge in gold prices, reflecting strong market fundamentals for the commodity. The Trust's efficient structure, low expense ratio (0.18% Sponsor Fee), and effective internal controls further enhance its appeal. Given the strong performance, continued investor interest in gold as a hedge against inflation and geopolitical uncertainty, and the Trust's operational stability, StockSavvy.ai recommends a strong buy for investors seeking direct exposure to physical gold.

Keywords

Gold ETF, Physical Gold, AAAU, Goldman Sachs, Investment, Commodity, Bullion, Asset Management, Financial Report, Market Value, Net Asset Value, LBMA Gold Price, Custody, Risk Factors, Financial Performance, SEC Filing, 10-K