(AAAU) Goldman Sachs Physical Gold - Ratings and Ratios

Goldman Sachs Physical Gold ETF (AAAU) is designed for investors seeking exposure to physical gold without the hassle of direct ownership. Listed on the BATS exchange, this ETF is a commodity-focused fund originating from the USA, offering a straightforward way to diversify into precious metals.

The ETF holds physical gold in the form of London Bars and other standard specifications, excluding numismatic coins. This focus ensures that the value is tied to the golds market price rather than collectible value. The fund operates by exchanging gold for baskets during creation and redemption processes, managed by Authorized Participants, ensuring liquidity and market efficiency.

With an AUM exceeding $1 billion, AAAU is a substantial fund in the commodity ETF space. It tracks the LBMA Gold PM Price, a recognized benchmark for gold, aligning the ETFs value closely with actual gold prices. This structure provides transparency and security, as the gold is stored in secure vaults, overseen by trusted custodians.

Key details for investors include the absence of traditional equity metrics like P/E or P/B, as this ETF is commodity-focused. Its performance is directly tied to golds market fluctuations, making it a pure play on gold prices without the complexities of equity investments.