ETFs let you buy a stake in gold or in companies that mine it, directly from your investment platform, without worrying about storage. Below, we look at three notable gold-focused ETFs available with the popular broker eToro – read our broker review.
iShares Gold Producers UCITS ETF (SPGP)
BlackRock’s iShares Gold Producers ETF gives you exposure to leading global gold miners. The fund tracks the S&P Commodity Producers Gold Index, which includes the largest and most liquid companies in the sector. Key holdings include global mining groups such as Newmont (NEM), Barrick Gold (GOLD) and Franco-Nevada (FNV).
Assets under management are in the billions of US dollars, and the fund is available to European investors. Unlike ETFs that are tied directly to the spot price of physical gold, SPGP lets investors participate in miners’ corporate earnings, which can expand over time beyond gold’s price alone. In some periods, miners can rise more than the metal itself.
The ongoing charge is 0.55% per year, a standard level for equity ETFs focused on commodities or their producers. Returns can differ from gold’s price performance — in rising commodity markets, miners often outperform the metal, while in downturns they tend to be more volatile. The ETF is listed on the London Stock Exchange. It suits investors seeking gold exposure via mining company shares. It does not pay regular dividends; its primary goal is capital growth.
VanEck Gold Miners UCITS ETF (G2X)
VanEck Gold Miners targets shares of the world’s largest gold mining companies. Major positions include Agnico Eagle Mines (AEM), Newmont (NEM) and Barrick Gold (GOLD). The fund is the European UCITS variant of the popular US ETF with the same focus, offering straightforward access to the gold mining sector. This provides an indirect, and often more responsive, exposure to changes in the gold price. When gold rises, miners’ profits typically grow faster — and the reverse can also be true.
The ETF tracks the NYSE Arca Gold Miners Index, giving diversified exposure to the entire mining industry rather than just the commodity itself. The ongoing charge is 0.53% per year, which is higher than some ETFs that track physical gold. In return, it offers greater upside potential. When gold is strengthening, this fund is often among the strongest performers, though investors should expect higher volatility and risk.
Amundi NYSE Arca Gold Bugs UCITS ETF (GLDU)
The Amundi NYSE Arca Gold Bugs UCITS ETF (GLDU) gives investors exposure to shares of leading companies focused on gold mining. Unlike funds that track the gold price directly, this ETF mirrors the performance of precious metals producers’ equities. That brings higher growth potential, but also greater price swings.
The fund is managed by Amundi, one of Europe’s largest asset managers. It is listed on Euronext Amsterdam and the Frankfurt Stock Exchange, offering good accessibility for European investors. The ETF is euro-denominated and pays regular dividends derived from miners’ business operations. These distributions can appeal to investors seeking income alongside exposure to the gold mining sector’s growth.
The total expense ratio (TER) is 0.65% per year, which is typical for this type of ETF. GLDU can help diversify portfolios with exposure to gold producers. It is particularly suitable for investors who want to combine gold exposure with the potential growth of mining companies. It may also play a useful role during periods of higher inflation or market stress, when gold and miners’ equities can act as a defensive component of a portfolio.
Which ETF to choose and why
For an eToro investor, three ETFs are in scope: SPGP, G2X and GLDU. We outlined their key details above. Each has its own characteristics with clear pros and cons.
If you want exposure to the gold price via miners’ shares, SPGP is a straightforward option. Its annual ongoing charge is 0.55%, in line with equity ETFs focused on the commodity sector. It offers diversification across the largest producers, such as Newmont and Barrick Gold, and suits investors looking for broad exposure to the mining industry.
An alternative is G2X, which tracks the NYSE Arca Gold Miners Index. Its annual ongoing charge is 0.53%. The fund is typically more sensitive to gold’s price — it often outperforms in rising markets but shows higher volatility in downturns. It is suitable for investors with a higher risk tolerance.
GLDU takes a slightly different approach by investing in gold producers’ shares while paying regular dividends, which can be attractive if you seek a steadier return even when gold prices are flat. Dividends are paid annually. The fund is euro-denominated and trades on Euronext Amsterdam and the Frankfurt Stock Exchange. The TER is 0.65% per year, typical for this category.
Each fund has a different risk-return profile, so your choice should match your investment strategy. If you plan to trade actively and need high liquidity, SPGP is usually the more suitable option. If you are looking to diversify a long-term portfolio, G2X or GLDU can make more sense due to their cost profile and the potential for dividend income.