Franklin Responsibly Sourced Gold ETF (FGDL) reports earnings

The report was filed on February 12, 2025

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Franklin Responsibly Sourced Gold ETF (FGDL-0.01%) has submitted its 10-Q filing for the quarterly period ended December 31, 2024.

The filing includes financial statements for the quarter, showing the Fund held 41,360.171 ounces of gold with a market value of $107,985,202. The cost of the investment in gold was $90,663,645.

During the three months ended December 31, 2024, the Fund issued 1,400,000 shares in exchange for 18,678.465 ounces of gold and redeemed 750,000 shares in exchange for 10,005.285 ounces of gold.

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The Fund's net asset value (NAV) per share decreased from $35.10 at the beginning of the period to $34.83 at the end, reflecting a 0.77% decrease due to the decline in gold prices and the Sponsor's fee.

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For the nine months ended December 31, 2024, the Fund issued 1,750,000 shares and redeemed 750,000 shares. The NAV per share increased from $29.57 to $34.83, primarily due to the increase in gold prices.

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The Fund's net realized and unrealized gain on investment in gold for the nine months ended December 31, 2024, was approximately $10,395,772, driven by the appreciation in gold prices.

The Fund's only ordinary recurring expense is the Sponsor's fee, which was $92,294 for the nine-month period. The Sponsor's fee is 0.15% of the daily NAV of the Fund.

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The Fund does not anticipate any material changes to its liquidity needs and will continue to sell gold as needed to pay the Sponsor's fee.

The filing also discusses the Fund's investment strategy of holding responsibly sourced gold, defined as London Good Delivery gold bullion bars refined on or after January 1, 2012.

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The Fund is classified as a 'grantor trust' for United States federal income tax purposes, meaning it is not subject to federal income tax, and income flows through to shareholders.

The Fund's financial statements were prepared in accordance with accounting principles generally accepted in the United States, with the valuation of gold bullion being a critical accounting policy.

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This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Franklin Responsibly Sourced Gold ETF quarterly 10-Q report dated February 12, 2025. To report an error, please email earnings@qz.com.