Invesco reduces fee on USD7.6 billion Physical Gold ETC

Invesco has reduced the annual fixed fee on the USD7.6 billion Invesco Physical Gold ETC, one of the firm’s largest exchange-traded products (ETPs) listed in Europe. 

With a reduced fixed fee of 0.19 oer cent per annum and a bid-offer spread typically around two basis points, the ETC offers investors the lowest total cost exposure to the price of gold of any competing gold product in Europe. 

Demand for gold escalated in 2019, with central banks being net buyers for the 10th consecutive year and the amount held by investors in gold ETPs at an all-time high. USD19.3 billion worth of gold ETPs (representing more than 400 tonnes) was purchased globally in 2019, with USD8.8 billion of this into Europe-listed products.
Chris Mellor, Head of EMEA ETF Commodity Product Management at Invesco, says: “Investors have been turning to gold to provide a potential cushion in case of equity market volatility and concerns about slowing global growth and geopolitical risks. Gold tends to become even more attractive when yields on other investments, historically perceived as ‘safe havens’, are low or even negative. For a decade now, our physical gold ETC has offered investors an easy and efficient way to gain exposure to gold, and now for an even lower cost.”