Revenue sources: Mainly from trading and managing physical gold holdings.

Top 3 markets:

1. USA: approximately 45%
2. Europe: approximately 30%
3. Asia: approximately 20%

The Goldman Sachs Physical Gold ETF generates its revenue primarily through managing physical gold holdings that investors can acquire through the ETF. The demand for physical gold investments is strongest in the USA, followed by Europe and Asia. These markets are crucial for revenue as they represent the largest investor bases for physical gold investments.

Production Sites: Not applicable

The Goldman Sachs Physical Gold ETF (BATS:AAAU) is an exchange-traded fund that invests in physical gold. As it is a financial product, the ETF does not produce physical goods. Instead, the fund holds physical gold stored in vaults to secure the value of the ETF.

The management and storage of the gold is typically done by specialized custodians located in secure facilities worldwide. The exact storage location may vary depending on the fund's agreements, but is often in major financial centers such as London or New York.

Current Strategy: Diversification and Market Expansion

Goldman Sachs is pursuing a strategy of diversification and market expansion with the Physical Gold ETF (BATS:AAAU). The focus is on providing investors with a secure and physically backed way to invest in gold. This is achieved through the direct deposit of physical gold, which is intended to strengthen investor confidence.

In the future, Goldman Sachs plans to expand its range of ETFs to cover a broader range of commodities and asset classes. This will be achieved through the introduction of new products and the exploration of new markets. The strategy aims to capitalize on growth potential in emerging markets while simultaneously solidifying existing market share in established regions.

Additionally, there will be an increased focus on sustainable and ESG-compliant investments to meet the rising demands of investors who value ethical and environmentally friendly investment opportunities.

Main commodity: Gold

Countries of origin: South Africa, Australia, Russia, Canada, USA (estimate based on global gold production data 2023)

The Goldman Sachs Physical Gold ETF (BATS:AAAU) mainly invests in physical gold. This gold is typically imported from countries that are among the largest gold producers in the world. South Africa, Australia, Russia, Canada, and the USA are leading in gold production and thus likely countries of origin for the physical gold that flows into the ETF.

The exact origin of the gold may vary depending on supply chain management and specific contracts. The ETF aims to hold physical gold stored in secure vaults to support the fund's value.

Market share in the ETF sector: Estimated 5-7% (2026)

Assets under management (AUM): Approximately 1.5 billion USD (2026)

The Goldman Sachs Physical Gold ETF (BATS:AAAU) has established itself as a significant player in the physically backed gold ETF sector. Its competitive advantage is based on several factors:

First, the ETF provides a cost-effective way for investors to directly invest in physical gold, making it particularly attractive to investors seeking a hedge against market volatility.

Second, the ETF benefits from the strong brand and extensive network of Goldman Sachs, which enhances investor confidence and promotes liquidity.

Despite these advantages, the ETF competes with other major providers such as SPDR Gold Shares (GLD) and iShares Gold Trust (IAU), which also hold significant market shares. The competitive advantage of AAAU could be further enhanced through innovative product offerings and an aggressive pricing strategy.

Institutional Investor Share: Estimated at 75% (2026)
Insider Buys/Sells: No significant transactions reported (2026)

The institutional investor share in the Goldman Sachs Physical Gold ETF remains high, indicating the trust of large financial institutions in this ETF. These investors appreciate the stability and hedging against market volatility that gold provides.

Insider transactions are less relevant for ETFs like AAAU, as they are typically held by institutional investors rather than individuals. Therefore, there are no significant insider buys or sells to report.

Market share of Goldman Sachs Physical Gold ETF (BATS:AAAU): 5% (estimated, 2026)

Top competitors and their market shares:

1. SPDR Gold Shares (NYSEARCA:GLD) - 40%
2. iShares Gold Trust (NYSEARCA:IAU) - 25%
3. Aberdeen Standard Physical Gold Shares ETF (NYSEARCA:SGOL) - 10%
4. VanEck Merk Gold Trust (NYSEARCA:OUNZ) - 8%
5. GraniteShares Gold Trust (NYSEARCA:BAR) - 7%
6. Goldman Sachs Physical Gold ETF (BATS:AAAU) - 5%
7. ProShares Ultra Gold (NYSEARCA:UGL) - 3%
8. Invesco DB Gold Fund (NYSEARCA:DGL) - 2%

Moat Analysis:

Compared to its competitors, the Goldman Sachs Physical Gold ETF (AAAU) has a smaller market share. The company's moat is limited as it is a relatively new market participant and the market is dominated by established ETFs like SPDR Gold Shares (GLD) and iShares Gold Trust (IAU).

The larger ETFs have significant advantages due to their size, liquidity, and market recognition. These factors provide them with a stronger moat as they can offer investors lower costs and higher trading volumes. However, Goldman Sachs could potentially gain some advantage through its strong brand recognition and innovative strategies in the financial sector, but this advantage is currently not significant compared to the market leaders.

Gold reserves: 1,000 tons (estimated, 2026)
Management fee: 0.18% p.a.
Gold price forecast: $2,000 per ounce (2026, estimate)

The Goldman Sachs Physical Gold ETF (BATS:AAAU) offers investors a way to invest in physical gold without owning it directly. The ETF holds physical gold reserves, which means it is directly influenced by the gold price.

With a management fee of 0.18% per year, the ETF is relatively cost-effective compared to other gold ETFs. The cost structure is an important factor as it can affect long-term returns.

Forecasts for the gold price in 2026 are around $2,000 per ounce. This estimate is based on current economic trends such as inflation concerns and geopolitical tensions that could increase demand for safe assets like gold.

Overall, the AAAU ETF could be a good investment if you believe in a rising gold price and are looking for a hedge against economic uncertainties. However, it is important to consider your own risk tolerance and investment goals.

Dividend payment: No

The Goldman Sachs Physical Gold ETF (BATS:AAAU) does not pay out any dividends. This ETF is designed to track the price of physical gold, rather than generating regular income in the form of dividends.

As a commodity ETF holding physical gold, dividend payments are uncommon. Investors mainly benefit from the appreciation of the price of gold.