VanEck Merk Gold Trust (OUNZ) Passes $1B in Assets Under Management

Business Wire 18-Jul-2024 8:00 AM

OUNZ has long been a liquid, cost-efficient way to buy and hold gold and provides investors the option to request physical delivery of gold coins and bars

VanEck is today celebrating the fact that its VanEck Merk Gold Trust (OUNZ) recently surpassed $1B in assets under management (AUM).

OUNZ, which launched in May of 2014, has for the last decade provided investors with the means to not only add gold exposure to their portfolios but also to take physical delivery of their gold holdings. Underpinning OUNZ is a proprietary process developed by its sponsor, Merk Investments LLC, through which investors are able to request and then take possession of gold coins and bars in the denominations they desire. Investors taking delivery of their physical gold via OUNZ do not encounter a taxable event, as they are merely taking possession of what they already own: the gold.

"While the price of gold has been increasing in 2024, few gold-focused exchange-traded products have seen inflows. OUNZ has actually been seeing relatively consistent inflows for the last several years, a testament to the unique features of the offering," said Ed Lopez, Head of Product Management with VanEck. "VanEck traces its history in gold investing back more than 50 years, and we've long prided ourselves on delivering innovative ways for investors to add the yellow metal to their portfolios. This is a significant milestone that we're pleased to celebrate."

VanEck has been at the forefront of gold investing since the firm's inception. The firm offers both actively and passively managed investment solutions, including the US's first gold stock fund, VanEck International Investors Gold Fund (INIVX), launched in 1968; the first gold miners ETF, VanEck Gold Miners ETF (GDX); and the VanEck Junior Gold Miners ETF (GDXJ).

"We join our partners at VanEck in celebrating this milestone for OUNZ," added Axel Merk, President and Chief Investment Officer with Merk Investments. "Gold's role in times of uncertainty, like those through which we have been living and investing the past several years, is well known. But we're pleased to note that OUNZ's unique approach and the means through which we can provide investors with access to physical gold is becoming just as well known and accepted."

For more information on OUNZ, please click here.

About VanEck VanEck has a history of looking beyond the financial markets to identify trends that are likely to create impactful investment opportunities. We were one of the first U.S. asset managers to offer investors access to international markets. This set the tone for the firm's drive to identify asset classes and trends – including gold investing in 1968, emerging markets in 1993, and exchange traded funds in 2006 – that subsequently shaped the investment management industry.

Today, VanEck offers active and passive strategies with compelling exposures supported by well-designed investment processes. As of June 30, 2024, VanEck managed approximately $107.7 billion in assets, including mutual funds, ETFs and institutional accounts. The firm's capabilities range from core investment opportunities to more specialized exposures to enhance portfolio diversification. Our actively managed strategies are fueled by in-depth, bottom-up research and security selection from portfolio managers with direct experience in the sectors and regions in which they invest. Investability, liquidity, diversity, and transparency are key to the experienced decision-making around market and index selection underlying VanEck's passive strategies.

Since our founding in 1955, putting our clients' interests first, in all market environments, has been at the heart of the firm's mission.

Important Disclosures

VanEck® Merk® Gold Trust (OUNZ):

The material must be preceded or accompanied by a prospectus. Before investing you should carefully consider the VanEck Merk Gold Trust's (the "Trust") investment objectives, risks, charges and expenses. Please read the prospectus carefully before investing.

Investing involves significant risk, including possible loss of principal. The Trust is not an investment company registered under the Investment Company Act of 1940 or a commodity pool for the purposes of the Commodity Exchange Act. Shares of the Trust are not subject to the same regulatory requirements as mutual funds. Because shares of the Trust are intended to reflect the price of the gold held in the Trust, the market price of the shares is subject to fluctuations similar to those affecting gold prices. Additionally, shares of the Trust are bought and sold at market price, not at net asset value ("NAV"). Brokerage commissions will reduce returns.

If an investor redeems some or all of its shares in exchange for the underlying gold (including American Gold Eagle Coins) represented by the redeemed shares, the exchange will generally not be a taxable event for the investor (except with respect to any Cash Proceeds). A subsequent sale of the gold received by the investor will be a taxable event. For details, please see "Taxation of U.S. Investors" in the prospectus.

The request for redemption of shares for gold is subject to a number of risks including but not limited to the potential for the price of gold to decline during the time between the submission of the request and delivery. Delivery may take a considerable amount of time depending on your location.

Commodities and commodity-index linked securities may be affected by changes in overall market movements and other factors such as weather, disease, embargoes, or political and regulatory developments, as well as trading activity of speculators and arbitrageurs in the underlying commodities.

Trust shares trade like stocks, are subject to investment risk and will fluctuate in market value. The value of Trust shares relates directly to the value of the gold held by the Trust (less its expenses), and fluctuations in the price of gold could materially and adversely affect an investment in the shares. The price received upon the sale of the shares, which trade at market price, may be more or less than the value of the gold represented by them. The Trust does not generate any income, and as the Trust regularly issues shares to pay for the Sponsor's ongoing expenses, the amount of gold represented by each Share will decline over time. Investing involves risk, and you could lose money on an investment in the Trust. For a more complete discussion of the risk factors relative to the Trust, carefully read the prospectus.

The sponsor of the Trust is Merk Investments LLC (the "Sponsor"). Van Eck Securities Corporation provides marketing services to the Trust.

© 2024 Merk Investments LLC. © 2024 VanEck. All trademarks, service marks or registered trademarks are the property of their respective owners.

VanEck International Investors Gold Fund (INIVX):

You can lose money by investing in the Fund. Any investment in the Fund should be part of an overall investment program, not a complete program. The Fund is subject to the risks associated with concentrating its assets in the gold industry, which can be significantly affected by international economic, monetary and political developments. The Fund's overall portfolio may decline in value due to developments specific to the gold industry. The Fund's investments in foreign securities involve risks related to adverse political and economic developments unique to a country or a region, currency fluctuations or controls, and the possibility of arbitrary action by foreign governments, or political, economic or social instability. The Fund is subject to risks associated with investments in Canadian issuers, commodities and commodity-linked derivatives, commodities and commodity-linked derivatives tax, gold-mining industry, derivatives, direct investments, emerging market securities, foreign currency transactions, foreign securities, other investment companies, management, market, non-diversification, operational, regulatory, small- and medium-capitalization companies and subsidiary risks.

VanEck Gold Miners ETF (GDX) and VanEck Junior Gold Miners ETF (GDXJ):

An investment in the Funds may be subject to risks which include, but are not limited to, risks related to investments in gold and silver mining companies, special risk considerations of investing in Australian and Canadian issuers, foreign securities, emerging market issuers, foreign currency, depositary receipts, micro-, small- and medium-capitalization companies, equity securities, market, operational, index tracking, authorized participant concentration, no guarantee of active trading market, trading issues, passive management, fund shares trading, premium/discount risk and liquidity of fund shares, non-diversified, and index-related concentration risks, all of which may adversely affect the Funds. Emerging market issuers and foreign securities may be subject to securities markets, political and economic, investment and repatriation restrictions, different rules and regulations, less publicly available financial information, foreign currency and exchange rates, operational and settlement, and corporate and securities laws risks. Micro-, small- and medium-capitalization companies may be subject to elevated risks.

Investing involves substantial risk and high volatility, including possible loss of principal. An investor should consider the investment objective, risks, charges and expenses of a Fund carefully before investing. To obtain a prospectus and summary prospectus, which contain this and other information, call 800.826.2333 or visit vaneck.com. Please read the prospectus and summary prospectus carefully before investing.

© Van Eck Securities Corporation, Distributor, a wholly owned subsidiary of Van Eck Associates Corporation 666 Third Avenue, New York, NY 10017

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