The World Gold Council has reported that there has been outflows from global gold-backed exchange traded funds (ETFs) in June as gold price fell 4.2%. Total holdings fell 49.3 ton to 2,434 tons in June pushing down assets under management in US dollars down by 2.1$ on month-on-month basis.
ETF outflows were dominated by North American funds, losing US$1.9bn in the face of US dollar strength and a declining gold price, while funds listed in Asia and other regions lost US$149mn and US$89mn respectively. Europe saw marginal inflows during the month, with gold holdings increasing fractionally by US$52mn.
North American funds saw outflows of 44.4t (US$1.9bn, 3.7% AUM) Funds listed in Asia decreased by 3.5t (US$149mn, 3.8%), while other regions also saw a reduction in holdings of 2.0t (US$89mn, 6.2%) Holdings in European funds marginally increased by 0.5t (US$52mn, 0.1%).
European funds now lead the way, adding US$2.5bn (5.9% AUM) to their holdings and capturing all but a fraction of global net flows y-t-d Asian funds have seen an impressive percentage increase, growing by 15% y-t-d After two months of strong outflows, North American flows are now slightly negative on the year
A stronger dollar in Q2 and a declining gold price have weighed on ETF holdings, but global AUM remains up 2.7% y-t-d.