Gold ETF Investment Guide: A Comprehensive Comparison of 10 Products You Must Know for 2025

When it comes to gold investment, most people's first reaction is to go to a gold store to buy gold bars or coins. However, for modern investors, gold ETFs have long become the mainstream tool for participating in the precious metals market. As a special type of exchange-traded product, gold ETFs combine the liquidity of stocks with the value-preserving properties of gold, allowing ordinary investors to easily participate in the world's oldest asset allocation.

What is a Gold ETF? Why are more and more people choosing it?

Before diving into specific products, let's first understand the essence of gold ETFs. The full English name of ETF is Exchange-Traded Fund, which means they can be freely bought and sold on the exchange like stocks, without the time constraints of traditional funds. In comparison, gold ETFs have two major advantages: first, they can be traded around the clock; second, you do not need to deal with the cumbersome procedures of handling physical gold bars.

Gold ETFs are mainly divided into two camps: one type tracks the spot price of gold, mirroring gold price fluctuations by holding physical gold or gold futures; the other type invests in gold listed companies, allowing you to indirectly participate in the growth story of mining companies.

The former provides pure exposure to gold prices, avoiding high storage and insurance costs, and is particularly suitable for investors who want the value preservation function of gold without the hassle. It is important to note that physical gold ETFs in the U.S. are classified as “collectibles” for tax purposes, which means the maximum capital gains tax rate will be higher, and high-income investors need to include this in their tax planning.

The latter opens the door to gold mining, exploration, and even royalty investment, making it a choice for advanced players.

Why invest in gold ETFs now? Three reasons not to ignore

First, gold is a hedge against economic uncertainty. When geopolitical risks rise and central bank policies are unpredictable, gold often rises against the trend, safeguarding the investment portfolio.

Second, it has an inverse relationship with the US dollar. In a weak dollar environment, gold priced in US dollars tends to rise. This means that once the dollar is under pressure, your gold positions can help offset the decline of other dollar assets.

Third, unbeatable liquidity. Unlike holding physical gold bars that require finding a place to sell, gold ETFs are traded on exchanges, allowing for fast execution, tight spreads, and convenience in entering and exiting.

Compared to traditional mutual funds, gold ETFs have another hidden advantage: mutual funds can only be bought and sold after the market closes on trading days, while ETFs can be traded throughout the day, which is significant for investors who need to respond flexibly to the market.

Spot Gold ETF Rankings: The Five Giants Showcase Their Skills

According to the latest statistics, the following five spot gold ETFs have become the main force in the market due to their large asset scale and excellent Liquidity.

SPDR Gold Shares (Ticker: GLD)

With an asset scale of $139.14 billion, a unit price of $380.58, this is undoubtedly the big brother among spot gold ETFs. It tracks the spot price of gold in the over-the-counter market 24 hours a day, supported 100% by physical gold, with a fee rate of only 0.4%. Investors gain the purest exposure to gold prices through it, eliminating all the worries of purchasing, storing, and insuring physical gold.

iShares Gold Trust (Ticker: IAU)

Asset size $64.22 billion, unit price $79.04, this is the second seat of the spot gold ETF. Similar to GLD, it invests 100% in physical gold, but the fee is lower at 0.25%, which can significantly reduce costs for long-term holders. The vaults are distributed in New York, Toronto, and London, and the geographical diversification enhances the security of the funds.

SPDR Gold MiniShares Trust (Ticker: GLDM)

Asset size $23.33 billion, unit price $81.89, stands out in the spot gold ETF market with its ultra-low 0.1% fee rate, making it the top choice for cost-sensitive investors. Although this product is relatively small in scale, its extremely low operating costs make its long-term return performance more competitive.

Abrdn Physical Gold Shares ETF (ticker: SGOL)

Asset size $6.95 billion, unit price $39.43. This ETF features only accepting gold that meets the London Good Delivery standards, ensuring the international liquidity of gold. The fee rate of 0.17% is at a moderate level, suitable for investors with high requirements for gold quality.

iShares Gold Trust Micro (exchange code: IAUM)

Asset size $5.52 billion, unit price $41.84, and with an ultra-low fee rate of 0.09%, it becomes the cheapest physical gold ETP in the entire market. This product is tailored for small investors and institutions that are extremely sensitive to costs.

Gold Mining ETF Camp: In-Depth Scan of Five Selected Products

If you are not interested in the pure gold price trend but rather want to bet on the fundamentals and growth potential of gold mining companies, these five mining ETFs are worth paying attention to.

VanEck Gold Miners ETF (Ticker: GDX)

The asset size is $23.89 billion, with a unit price of $79.18. It is known as the flagship product of mining ETFs. It concentrates on the largest gold producers and patent companies in the world. Almost 90% of the holding companies have a market capitalization exceeding $5 billion, indicating a very high concentration of large companies. The top three holdings are Agnico Eagle (weight 7.9%), Newmont (7.15%), and AngloGold Ashanti (5.71%), which are recognized as blue-chip stocks in the industry. The fee rate of 0.51% is considered reasonable among similar products. The quarterly rebalancing mechanism ensures the timeliness of the portfolio.

VanEck Junior Gold Miners ETF (Ticker: GDXJ)

Asset size $8.66 billion, unit price $101.24. This is GDX's “little brother,” but it has a completely different mission—focusing on small and startup mining companies. Although the risks are higher, the potential returns far exceed those of large-cap stocks. The top three holdings include Pan American Silver (6.45%), Equinox Gold (6.39%), and Alamos Gold (5.75%), all of which are growth stocks. With the same 0.51% fee rate, you are taking on a completely different risk-return profile.

iShares MSCI Global Gold Miners ETF (exchange code: RING)

Asset size $2.63 billion, unit price $67.87, created by the iShares team under BlackRock. This product tracks the MSCI Global Gold Miners Index, with a fee of only 0.39%, making it one of the cheapest options in mining ETFs. Its top three holdings Newmont (15.85%), Agnico Eagle (13.33%), and Barrick Gold (8.92%) reflect the high concentration of global mining leaders.

Sprott Gold Miners ETF (Exchange Code: SGDM)

Asset size $611.45 million, unit price $64.64, this is a product under the Canadian veteran mining investment firm Sprott. Although the scale is small, its Solactive Gold Miners custom index tracks major gold companies listed on exchanges in Canada and the United States. Fee rate is 0.5%, quarterly rebalancing, with the top three holdings being Agnico Eagle (12.41%), Newmont (8.92%), and Wheaton Precious Metals (7.83%).

Sprott Junior Gold Miners ETF (exchange code: SDGJ)

Asset size $280.97 million, unit price $76.56, focusing on mid-sized mining companies with market values between $200 million and $3 billion. These companies have high growth potential but also high risks, with a fee rate of 0.5% and semi-annual rebalancing (in March and September). The top three holdings are Bellevue Gold (5.04%), Novagold Resources (5.03%), and Turk Altin Isletmeleri (4.94%), representing a new force in the global mining industry.

How to choose? Spot or mining, a chart to help you decide

Spot Gold ETF is suitable for: Conservative investors seeking asset preservation and risk hedging; balanced portfolios looking to diversify stock risks; traders with a clear bullish expectation on gold prices.

Mining Gold ETF is suitable for: Aggressive investors who are optimistic about gold demand and mining company profitability; strategists who want to earn growth returns from companies rather than just gold price returns; long-term allocators with a strong risk tolerance.

Against the backdrop of 2025, geopolitical uncertainties still exist, and some central banks' expectations for continued easing remain unchanged, creating a favorable macro environment for gold assets. Regardless of which category you choose, the core point to remember is: The low fees and high Liquidity of ETFs have completely transformed the way ordinary investors participate in the gold market; what remains is to make choices based on your own risk preferences and return expectations.