This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

Do Gold and Silver ETFs Make Good Investments?

IAU, iShares Comex Gold Trust

IAU has been around since January 2005 and its claim to fame is that it's the cheapest gold ETF. The fund has $4.2 billion in assets and holds 3.2 million ounces, or 99.70 tons of gold. The trustee recently lowered the expense ratio from 0.40% to 0.25%. According to the prospectus, there can be no unallocated gold held at the end of each business day. The trustee is allowed to request up to 430 ounces of unallocated gold for delivery from the custodian.

The trustee is Bank of New York Mellon and the custodian is JPMorgan. The gold is held in New York City, London and Toronto by the Bank of Nova Scotia (BNS). According to the Web site, the vault was last inspected in December 2009 by Inspectorate American Corporation. At that time the 8,553 gold bars in both Toronto and NYC all had purity of 99.50% to 99.99%. There has not been an audit since that date.

According to its most recent 13-F filing, Schroder Investments initiated a position in IAU with 1.74 million shares. Blackrock Institute holds the most shares at 12.2 million followed by Wells Fargo (WFC) and Bank of America with 8.6 million and 7.4 million shares respectively.

4 of 7

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
AAPL $128.49 -0.46%
FB $78.78 -1.20%
GOOG $568.89 -0.43%
TSLA $197.21 -0.06%
YHOO $42.73 -3.10%

Markets

DOW 18,158.36 -130.27 -0.71%
S&P 500 2,101.48 -15.91 -0.75%
NASDAQ 4,965.3250 -42.7710 -0.85%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs