10-Q: SPDR Gold Trust Sees Soaring Net Assets, Gold Holdings in Q1 2026

SPDR Gold Trust reported a significant increase in net assets and gold holdings for the quarter ended December 31, 2025, driven by a substantial unrealized gain on gold investments.

Summary

• Net assets surged to $148.23 billion at December 31, 2025, up from $124.53 billion at September 30, 2025.
• The Trust's gold holdings increased to 34,465,627.3 ounces at December 31, 2025, from 32,528,241.132 ounces at September 30, 2025.
• Net asset value per share rose to $396.12 at December 31, 2025, compared to $352.09 at September 30, 2025.
• The Trust recorded a net increase in net assets from operations of $15.49 billion for the three months ended December 31, 2025, a significant improvement from a net decrease of $604.33 million in the prior year period.
• This increase was primarily driven by a net realized and change in unrealized gain on investment in gold of $15.63 billion, contrasting with a $528.64 million loss in the same period last year.
• The average gold price for the quarter ended December 31, 2025, was $4,135.24 per ounce, with a high of $4,449.40 and a low of $3,872.00.
• 53.3 million shares were created and 32.8 million shares were redeemed during the quarter, resulting in a net increase of 20.5 million shares outstanding.

Sentiment

Score: 9

Explanation: StockSavvy.ai views this as a highly positive report, reflecting strong performance driven by a significant increase in gold prices and substantial unrealized gains, leading to a robust increase in net assets and shareholder value.

Positives

• Net assets increased significantly by $23.7 billion to $148.23 billion at December 31, 2025, from $124.53 billion at September 30, 2025.
• Gold holdings grew by approximately 1.94 million ounces to 34,465,627.3 ounces.
• Net asset value per share increased by $44.03 to $396.12, reflecting strong performance.
• The Trust reported a substantial net increase in net assets from operations of $15.49 billion, a significant turnaround from a $604.33 million decrease in the prior year.
• Total Return at Net Asset Value was 12.51% for the quarter, compared to a (0.83)% loss in the same period last year.
• Total Return at Market Value was 11.49% for the quarter, compared to a (0.38)% loss in the same period last year.
• The average gold price for the quarter ended December 31, 2025, was $4,135.24, significantly higher than $2,663.38 in the prior year period.

Negatives

• Sponsor fees increased to $140.41 million for the quarter ended December 31, 2025, from $75.69 million in the prior year, reflecting the higher net asset value.
• Net investment loss increased to $140.41 million, directly corresponding to the higher sponsor fees.
• Liabilities increased to $247.94 million at December 31, 2025, from $38.26 million at September 30, 2025, primarily due to an increase in gold payable.

Risks

• The value of Shares is directly affected by fluctuations in the price of gold bullion.
• Various factors could affect the price of gold, including global supply and demand, inflation expectations, currency exchange rates, interest rates, investment and trading activities of hedge funds and commodity funds, other economic variables, and global or regional political, economic, or financial events.
• There is no assurance that gold will maintain its long-term value in terms of purchasing power in the future.
• The Trustee does not actively manage the gold held by the Trust, meaning it does not sell gold at high prices or acquire at low prices, nor does it use hedging techniques to reduce risk of losses from price decreases.
• The use of an alternative indicator for gold valuation, if the LBMA Gold Price PM is deemed inappropriate, could result in materially different fair value pricing.
• No material changes in risk factors from those disclosed in the Annual Report on Form 10-K for the year ended September 30, 2025, but additional unknown or immaterial risks could adversely affect the Trust.

Future Outlook

The Trust's investment objective remains to reflect the performance of the price of gold bullion, less expenses. Management expects the Trust to maintain a zero cash balance at the end of each reporting period by selling gold as needed to cover expenses. Past movements in gold price are not indicators of future movements.

Management Comments

• "The investment objective of the Trust is for the Shares to reflect the performance of the price of gold bullion, less the Trust's expenses."
• "The Shares are designed to provide investors with a cost effective and convenient way to invest in gold."
• "While we believe that the LBMA Gold Price is an appropriate indicator of the value of gold, there are other indicators that are available that could be different than the LBMA Gold Price."
• "When selling gold to pay expenses, the Trustee endeavors to sell the exact amount of gold needed to pay expenses in order to minimize the Trust's holdings of assets other than gold."
• "We expect that the Trust will not record any net cash flow from its operations and that its cash balance will be zero at the end of each reporting period."

Industry Context

StockSavvy.ai notes that the significant increase in SPDR Gold Trust's net assets and gold holdings aligns with a broader trend of rising gold prices observed in late 2025. This performance reflects gold's traditional role as a safe-haven asset and inflation hedge, attracting increased investor interest amidst global economic uncertainties and potentially dovish central bank policies. The substantial unrealized gains suggest a robust market environment for precious metals, outperforming many other commodity classes during the period.

Comparison to Industry Standards

• The 12.51% total return at NAV for the quarter ended December 31, 2025, significantly outperforms the prior year's (0.83)% loss, indicating a strong recovery and growth phase for gold.
• The average gold price of $4,135.24 for Q4 2025 represents a substantial increase compared to $2,663.38 in Q4 2024 and $1,971.49 in Q4 2023, demonstrating a strong upward trajectory in gold's market value.
• The Trust's expense ratio of 0.40% (annualized) is a standard fee for a passively managed gold ETF, comparable to other major gold-backed products like iShares Gold Trust (IAU) which typically has a lower expense ratio (e.g., 0.25%) but GLD is the largest and most liquid.
• The increase in gold ounces held and shares outstanding suggests strong investor demand for gold exposure through this vehicle, potentially indicating a shift of capital into precious metals relative to other asset classes.

Related Party Transactions

• The Sponsor receives a recurring fixed fee, accruing daily at an annual rate of 0.40% of the daily NAV, in exchange for assuming responsibility for all ordinary fees and expenses of the Trust.
• Affiliates of the Trustee may act as Authorized Participants or purchase/sell gold or Shares for their own account, as agent for customers, and for accounts over which they exercise investment discretion.

Stakeholder Impact

• Shareholders: Directly benefit from the increase in net asset value per share and total return, reflecting the appreciation in gold prices.
• Sponsor (World Gold Trust Services, LLC): Benefits from increased sponsor fees due to the higher net asset value of the Trust.
• Authorized Participants: Continue to facilitate creations and redemptions of shares, indicating ongoing market activity and demand for GLD.
• Custodians (HSBC Bank plc, JPMorgan Chase Bank, N.A.): Continue to hold 100% allocated gold bullion on behalf of the Trust, ensuring physical backing of the shares.

Next Steps

• The Trust will continue to issue and redeem shares in Baskets in exchange for gold.
• The Sponsor will continue to monitor the operating results of the Trust.
• Bureau Veritas Commodities UK Ltd. will conduct two gold bullion counts annually, with the next annual full count coinciding with the fiscal year-end at September 30th.
• The Sponsor generally visits the vaults of the Custodians twice a year as part of its due diligence procedures.

Key Dates

Recommendation

The SPDR Gold Trust's latest quarterly report demonstrates exceptional performance, with net assets surging by over $23 billion and a 12.51% total return at NAV. This robust growth is directly attributable to a significant increase in gold prices, resulting in substantial unrealized gains. Given gold's strong upward trajectory, its role as a hedge against inflation and geopolitical uncertainty, and the Trust's efficient structure for gaining gold exposure, the current outlook for GLD is highly favorable. The strong financial metrics and positive market sentiment for gold warrant a 'strong buy' recommendation for investors seeking exposure to the precious metal.

Keywords

SPDR Gold Trust, GLD, Gold ETF, Gold Bullion, Investment Trust, Precious Metals, Commodity ETF, SEC Filing, 10-Q, Financial Results, Net Assets, Gold Price, LBMA Gold Price, Unrealized Gain, Market Risk, Sponsor Fees