10-Q: GraniteShares Platinum Trust Reports Net Asset Value Increase Despite Platinum Price Dip in Q2 2025

GraniteShares Platinum Trust saw an increase in net asset value during the quarter ended December 31, 2024, despite a decrease in the price of platinum.

Summary

• GraniteShares Platinum Trust reported an increase in net asset value to $45.9 million as of December 31, 2024, up from $43.1 million on June 30, 2024.
• The increase in net asset value was primarily due to an 18.2% increase in the number of shares outstanding, rising from 4.4 million to 5.2 million.
• The price of platinum decreased by 7.2% during the quarter, from $985 to $914 per ounce, negatively impacting the net asset value per share.
• The net asset value per share decreased by 9.9% from $9.80 on June 30, 2024, to $8.83 on December 31, 2024.
• The Trust's expenses, primarily sponsor fees, totaled $107,444 for the six-month period, representing 0.25% of the average weighted net assets.
• The Trust experienced a net decrease in net assets resulting from operations of $4.59 million for the six-month period, primarily due to unrealized losses on platinum investments.

Sentiment

Score: 4

Explanation: The sentiment is slightly negative due to the decrease in platinum price and the resulting decrease in net asset value per share, despite an increase in overall net asset value. The report highlights the risks associated with platinum price volatility.

Positives

• The Trust's net asset value increased by 6.5% over the six-month period.
• The number of shares outstanding increased by 800,000 due to creation orders.

Negatives

• The price of platinum decreased by 7.2% during the quarter and 9.7% over the six-month period.
• The net asset value per share decreased by 9.9% over the six-month period.
• The Trust experienced a net decrease in net assets from operations of $4.59 million for the six-month period.

Risks

• The price of platinum is subject to various market factors, including global supply and demand, inflation expectations, currency exchange rates, and geopolitical events.
• A decline in the price of platinum will likely result in a proportional decrease in the value of the Trust's shares.
• The Trust's financial position and results of operations could be materially affected by fluctuations in the price of platinum.

Future Outlook

The Trust's objective is for the value of the Shares to reflect the performance of the price of platinum, less the Trust's expenses. The Sponsor believes that, for many investors, the Shares will represent a cost-effective investment relative to traditional means of investing in platinum.

Management Comments

• The Sponsor believes that the Shares will represent a cost-effective investment relative to traditional means of investing in platinum.
• The duly authorized officers of the Sponsor have concluded that the disclosure controls and procedures of the Trust were effective as of the end of the period covered by this report.

Industry Context

This report reflects the performance of a platinum-backed investment trust, which is directly tied to the price of platinum. The performance is influenced by global supply and demand dynamics, as well as investor sentiment towards precious metals.

Comparison to Industry Standards

• The GraniteShares Platinum Trust is comparable to other physically-backed platinum exchange-traded funds (ETFs) such as the Aberdeen Standard Physical Platinum Shares ETF (PPLT) and the iShares Physical Platinum ETC (PHPT).
• These ETFs aim to track the spot price of platinum, less expenses, and their performance is largely determined by the price of platinum.
• The expense ratio of GraniteShares Platinum Trust is 0.50% which is similar to other comparable platinum ETFs.
• The net asset value per share of the GraniteShares Platinum Trust is directly impacted by the price of platinum, similar to other platinum ETFs.

Related Party Transactions

• A fee is paid to the Sponsor as compensation for services performed under the Trust Agreement.
• Affiliates of the Trustee may from time-to-time act as Authorized Participants or purchase or sell platinum or Shares for their own account.

Stakeholder Impact

• Shareholders are impacted by the decrease in net asset value per share due to the decline in platinum prices.
• Authorized Participants are the only entities that can create and redeem shares with the Trust.
• The Sponsor is responsible for managing the Trust and is compensated through fees.

Key Dates

Keywords

platinum, GraniteShares Platinum Trust, net asset value, PLTM, investment trust, precious metals, LBMA, NYSE Arca