Gold ETF Trading Volumes Outpacing Leading Gold Equities
Source: Mineweb.com (2/28/08)
Trading in the Streettracks Gold ETF (NYSE: GLD), the largest of five primary ETFs, has outpaced the daily trading of leading gold equities in recent months, showing that investors in gold ETFs are not as passive as generally believed.
The Fortis hedging and financial gold report said Streettracks' daily trading volumes has not only outpaced that of mining companies Barrick and Newmont over this time, but has reached about the volume of the two combined.
Trading volumes of ETFs, COMEX and mining company shares have all increased significantly since the middle of last year as these forms of gold investment have responded to both a growing interest in gold investment and volatility in the gold price. In the case of Streettracks ETF, trading volumes have risen as investor interest and assets under its management have increased, said the report.