10-Q: GraniteShares Gold Trust Reports Strong Q3 2025 Performance Driven by Rising Gold Prices

GraniteShares Gold Trust's net asset value surged in Q3 2025, primarily driven by a significant increase in gold prices.

Summary

• GraniteShares Gold Trust's net asset value increased by 23.08% during the quarter ended March 31, 2025, reaching $1,041,923,470.
• This increase was primarily due to a 19.31% rise in the price of gold, from $2,610.85 to $3,115.10.
• The number of shares outstanding also increased by 3.2% to 33,900,000.
• The net asset value per share increased by 19.29% to $30.74.
• For the nine months ended March 31, 2025, the Trust's net asset value increased by 31.72% due to a 33.64% increase in the price of gold.
• The number of shares outstanding decreased slightly by 1.3% during the nine-month period.
• The net asset value per share increased by 33.48% to $30.74.
• The Trust's only recurring expense is the Sponsor's fee, which is 0.1749% of the adjusted daily net asset value.

Sentiment

Score: 8

Explanation: The document presents a positive outlook due to the significant increase in net asset value driven by rising gold prices. The effective disclosure controls and procedures also contribute to a favorable sentiment.

Positives

• The Trust experienced significant growth in net asset value due to the increase in gold prices.
• The Trust's structure provides a cost-effective way for investors to gain exposure to gold.
• The Sponsor assumes most of the Trust's expenses in exchange for the Sponsor's fee.
• The Trust's disclosure controls and procedures were effective as of the end of the period covered by the report.

Negatives

• The Trust's performance is heavily reliant on the price of gold, making it susceptible to market fluctuations.
• The Sponsor's fee, while covering many expenses, still impacts the overall return for investors.
• A slight decrease in the number of shares outstanding during the nine-month period could indicate some investor redemptions.

Risks

• The price of gold is subject to various factors, including global supply and demand, inflation expectations, currency exchange rates, and geopolitical events.
• A decline in the price of gold would negatively impact the value of the Shares.
• There is no assurance that gold will maintain its long-term value in terms of purchasing power.
• The Trust is subject to indemnification obligations, which could result in future claims.

Future Outlook

The Trust aims to reflect the performance of the price of gold, less the Trust's expenses, and believes the Shares represent a cost-effective investment relative to traditional means of investing in gold.

Industry Context

Gold ETFs like GraniteShares Gold Trust provide investors with a convenient and liquid way to gain exposure to gold without the complexities of physical storage or trading futures contracts. The performance of these ETFs is directly tied to the price of gold, making them a popular choice during times of economic uncertainty or inflation concerns.

Comparison to Industry Standards

• Comparable gold-backed ETFs include the SPDR Gold Trust (GLD) and iShares Gold Trust (IAU).
• GraniteShares Gold Trust's expense ratio of 0.1749% is competitive with other similar ETFs.
• The Trust's performance closely tracks the LBMA Gold Price PM, which is a widely recognized benchmark for gold pricing.

Related Party Transactions

• The Sponsor receives a fee for services performed under the Trust Agreement, and in exchange, assumes certain administrative and marketing expenses of the Trust.

Stakeholder Impact

• Shareholders benefit from the increased net asset value and potential for capital appreciation.
• Authorized Participants facilitate the creation and redemption of Shares, contributing to market liquidity.

Key Dates

Keywords

GraniteShares Gold Trust, gold, net asset value, shares, LBMA Gold Price, Sponsor fees, investment, bullion