Important Information
| I. | Value Gold ETF (the "Fund") is a fund listed on the Stock Exchange of Hong Kong Limited (“SEHK”), which aims to provide investment results that closely correspond to the performance of the London Bullion Market Association (LBMA) Gold Price. |
| II. | The Fund only invests in bullion and may experience greater volatility due to single economic, market or political occurrences when compared to diversified mutual funds or unit trusts. | |
| III. | The Fund offers both listed class of units (the “Listed Class”) and unlisted class of Units (the “Unlisted Class”). Investors of Listed and Unlisted Classes are subject to different pricing and dealing arrangements. The NAV per unit of each of the Listed and Unlisted Classes may be different due to different fees and cost applicable to each Class. The dealing deadlines in respect of the Listed and Unlisted Class are also different. | |
| IV. | Units of the Listed Class are traded on the stock exchange on an intraday basis at the prevailing market price (which may diverge from the corresponding NAV), while units of the Unlisted Class are sold through intermediaries based on the dealing day-end NAV and are dealt at a single valuation point with no access to intraday liquidity in an open market. Depending on market conditions, investors of the Listed Class may be at an advantage or disadvantage compared to investors of the Unlisted Class. | |
| V. | In a stressed market scenario, investors of the Unlisted Class could redeem their units at NAV while investors of the Listed Class could not and may have to exit the Fund at a significant discount. On the other hand, investors of the Listed Class could sell their units on the secondary market during the day thereby crystallising their positions while investors of the Unlisted Class could not do so in a timely manner until the end of the day. | |
| VI. | Investors of Listed and Unlisted Classes are subject to different types of risks. For example, Investors of the Listed Class are exposed to reliance on market makers risk and multi-counter risk. | |
| VII. | The Fund does not insure its bullion and the Fund and unitholders could suffer a loss if the bullion held by the custodian is lost or damaged. | |
| VII. | As the Fund is not actively managed, the Manager will not adopt a temporary defensive position against any market downturn. Investors may lose part or all of their investment. | |
| VII. | You should not make investment decision on the basis of this material alone. Please read the prospectus for details and risk factors. |
The only gold fund backed by physical gold stored in Hong Kong^
diversify the impact from geopolitical risks
Simple and transparent fee structure
only 0.4%1 Total Expense Ratio per annum
Closely keep track of LBMA Gold Price
with only 0.02%2 tracking error over the past year
Why invest in gold?
Inflation Hedge
- Gold has historically rallied in periods of high inflation
- In years of higher inflation with over 5%, gold’s price has increased over 20% since 1971*
Gold’s price historically rallied in periods of high inflation (1971-2022)
*Based on y-o-y changes of the LBMA Gold Price. Bloomberg Commodity Index and US CPI between 1971 and 30 June 2022.
From 1971 to 2022, there were 12 years of inflation of less than 2%, 27 years between 2% and 5%, and 12 years of more than 5%. Source: World Gold Council, Reuters
From 1971 to 2022, there were 12 years of inflation of less than 2%, 27 years between 2% and 5%, and 12 years of more than 5%. Source: World Gold Council, Reuters
Diversify Risk During Market Downturns
- Gold can mitigate losses in times of market stress, especially during periods of “abnormal volatility”
- Due to this unique property (downside protection), gold is considered as a safe haven and a portfolio stabilizer during market downturns
Gold has performed well in uncertain markets
Source: World Gold Council, Reuters, 2008 GFC (11/08/2008-09/03/2009), Covid-19 (19/02/2020-23/03/2020), 2002 recession (19/03/2002-23/07/2002), Dot com bubble (29/09/2000-04/04/2001), September 11th (24/08/2001-21/09/2001), Trade war (21/09/2018-26/12/2018), Middle East conflict 2023 (7/10/2023-31/10/2023).
For more details, please contact your bank or investment consultant. You may also contact our Fund Investor Services Team.
Investment Insights:
Market Outlook:
^Value Gold ETF offers both listed class and unlisted class. This material is referring to unlisted class only.
1. Total Expense Ratio (ongoing charges figure) is calculated according the annualized figure of the ongoing charges in the trust, represented by the percentage of total expense of the trust to the average net asset value over the same period. The figure may change annually. The trust adopted the single management fee structure. The upper limit of the ongoing charges of the trust will be 0.4% of the average net asset value of the trust, which is the same as the current management fee. Any ongoing charges exceeding 0.4% of the average net asset value of the trust will be borne by the manager and will not be charged to the trust. For details, please read the prospectus. 2. As of 31 December 2023.The figure refers unlisted class
Investors should note investment involves risk. The price of units may go down as well as up and past performance is not indicative of future results. Investors should read the prospectus for details and risk factors. This material has not been reviewed by the Securities and Futures Commission of Hong Kong. Issuer: Sensible Asset Management Hong Kong Limited.
1. Total Expense Ratio (ongoing charges figure) is calculated according the annualized figure of the ongoing charges in the trust, represented by the percentage of total expense of the trust to the average net asset value over the same period. The figure may change annually. The trust adopted the single management fee structure. The upper limit of the ongoing charges of the trust will be 0.4% of the average net asset value of the trust, which is the same as the current management fee. Any ongoing charges exceeding 0.4% of the average net asset value of the trust will be borne by the manager and will not be charged to the trust. For details, please read the prospectus. 2. As of 31 December 2023.The figure refers unlisted class
Investors should note investment involves risk. The price of units may go down as well as up and past performance is not indicative of future results. Investors should read the prospectus for details and risk factors. This material has not been reviewed by the Securities and Futures Commission of Hong Kong. Issuer: Sensible Asset Management Hong Kong Limited.