TradePlus Shariah Gold Tracker

Malaysia’s 1st Shariah-compliant Commodity ETF

The TradePlus Shariah Gold Tracker ("Fund") provide investors a Shariah-compliant avenue to invest in physical gold without the hassle of storing or insuring gold bullion. The Fund closely tracks the returns of gold through an Exchange-traded Fund structure; where units are tradeable on Bursa Malaysia Securities.

Closing Price
 

 

NAV Price

As at    

The Indicative Optimised Portfolio Value (IOPV) for the Fund is now available on the Bursa website.

  • LBMA Gold Price AM
  • Fund’s Net Asset Value
  • Units in Circulation
  • Current representation of ownership to Gold per Unit
    Approximately 0.01 gram of Gold and cash
Last updated:  

Key highlights

It’s backed by physical gold

A minimum 95% of the Fund’s assets are held in physical gold; purchased only from gold refiners accredited by the London Bullion Market Association (“LBMA”). These gold bars are held in a segregated and allocated manner, safe-kept in a secured vault in Singapore.

It’s Shariah-compliant

The Fund ensures that its operation fully abides the principles of the Shariah Law, and is guided by the Amanie Shariah Advisors.

It’s yours

Your units will entitle you to a portion of the gold held by the Fund. Rest assured that the gold is fully allocated and held in a segregated basis!

It’s hassle-free

The Fund is listed on Bursa Malaysia Securities which is accessible via online trading platforms – or if we may – the comforts of your own home. More importantly, there is no need for you to worry over logistics, insurance, or the safety of your gold!

It’s offered in dual currency

The Fund is available for subscription in US Dollar (via the Primary Market) and tradeable in Malaysian Ringgit (via the Secondary Market).

It’s redeemable

You also have the option to redeem physical gold upon meeting the minimum redemption unit block.*

* Redemption unit block: 500,000 units (equivalent to an estimate of 5kg of gold), or such quantity as determined by the Manager from time to time and published on the Fund’s website.
All fees incurred throughout the process of collecting the physical gold shall be borne by the investor; which may include but not limited to logistic cost, insurance cost of the assets upon physical redemption, taxes (if any), etc.

How to invest?

Trading on Bursa Securities
  • Stock Code
    0828EA
  • Stock Short Name
    GOLDETF
  • ISIN Code
    MYL0828EA003
  • Bloomberg Ticker
    GOLDETF MK Equity
  • Minimum Trading Units
    100 units
  • Trading Currency
    Malaysian Ringgit (MYR)
Investing through Participating Dealers
  • Minimum Creation / Redemption Basket
    500,000 units
  • Base Currency
    US Dollar (USD)

Investment Objective

The Fund aims to provide investors with investment returns that closely track the performance of gold price.

Investment Strategy

The Manager will invest a minimum of 95% of the Fund’s NAV in physical gold bars purchased from the London Bullion Market Association (“LBMA”) accredited refineries to meet the Fund’s objective. For liquidity purposes, the remaining balance of the Fund’s NAV will be invested in Islamic money market instrument, and/ or Islamic deposits. The Fund will be passively managed, leaving the Fund to be highly invested at all times, irrespective of the outlook on the underlying assets.

Fund Facts

Listing Date 6 December 2017
Fund Launch Date 28 November 2017
Fund Category Shariah-compliant commodity Exchange-Traded Fund
Fund Type Gold price performance tracking fund
Investor Profile The Fund is suitable for investors who:
  • seek exposure into Gold through a Shariah-compliant investment structure, and
  • have a moderate risk tolerance level
Asset Allocation Physical gold bars: Minimum 95% of the Fund’s NAV
Islamic money market instruments / Islamic deposits: Remaining of the Fund’s NAV
Specific Risks
  • Currency risk
  • Concentration risk
  • Tracking error risk
  • Custodian risk
  • Risk related to the benchmark
  • Minimum redemption size
  • Passive investment management
  • Fluctuations in price of gold bars
  • Reliance on the gold provider
  • Limited recourse by unitholders
  • Sale of gold bars to pay fund expenses
  • Insufficient sources of recovery if fund assets are lost, damaged, stolen or destroyed
Base Currency US Dollar (USD)
Benchmark LBMA Gold Price AM
Financial Year End 31 December
Initial Approved Fund Size 1,000,000,000 units
Income Distribution There will be no distribution of income

Fees & Charges

Annual Management Fee 0.30% p.a.
Annual Trustee Fee 0.06% p.a. (excluding custody fee and charges) of the NAV of the Fund calculated and accrued daily using the Fund’s Base Currency.
Annual Custody Fee 0.20% p.a. of the value of the Gold Bars held with the Custodian, accrued daily and payable monthly using the Fund’s Base Currency.
Quarterly License Fee 0.0075% of the Peak AUM, subject to a minimum of USD250 and a maximum of USD10,000.

Parties to the Fund

Manager Affin Hwang Asset Management Berhad
External Fund Manager AIIMAN Asset Management Sdn Bhd
Trustee TMF Trustees Malaysia Berhad
Participating Dealer(s) Affin Hwang Investment Bank Berhad
Malacca Securities Sdn Bhd
Market Maker(s) Affin Hwang Investment Bank Berhad
Malacca Securities Sdn Bhd
Fund Documents
  • Prospectus
    Download
  • Supplemental Prospectus
    Download
  • Daily NAV & Creation/ Redemption Basket
    Download
  • Marketing Brochure
    Download
  • Monthly Factsheet
    Download
  • Gold Bar List
    Download
Fund Reports
  • Annual Reports
    31-12-2018
    Download
  • Interim Reports
    30-06-2019
    Download
  • Quarterly Reports
    Download
Announcements
  • Company Announcement: Appointment of Participating Dealer and Market Maker
    05-03-2018
    Download
  • Company Announcement: Reduction of Annual Management Fee
    01-03-2018
    Download
  • Notice Accompanying The Electronic Prospectus of TradePlus Shariah Gold Tracker
    28-11-2017
    Download
Third Party Research Reports
  • Independent Research Report on TradePlus Shariah Gold Tracker
    Issued by Affin Hwang Investment Bank Berhad
    Download
AMANIE ADVISORS SDN BHD

Amanie Advisors Sdn Bhd ("Amanie") is a Shariah advisory, consultancy, training and research and development boutique for institutional and corporate clientele focusing on Islamic financial services. It has been established with the aim of addressing the global needs for experts and Shariah scholars' pro-active input. One of the first global boutique Shariah advisory houses for Islamic Finance, Amanie was founded in 2005 by internationally renowned Shariah scholar Datuk Dr Mohd Daud Bakar. The company is led by Datuk Dr. Mohd Daud Bakar and teamed by an active and established panel of consultants covering every aspect related to the Islamic banking and finance industry both in Malaysia and the global market. Currently the team comprises of eight (8) full-time consultants who represent dynamic and experienced professionals with a mixture of Shariah law, corporate finance, accounting, product development, and education. Amanie is also a registered Shariah Advisers (Corporation) with the Securities Commission. Since 2005, Amanie has acquired fourteen (14) years of experience in the advisory role of unit trusts and as at the LPD we have advised more than 170 funds locally and globally.

The Shariah supervisory Board members for Amanie are:
  1. Dr Mohammed Ali Elgari (Chairman)
  2. Datuk Dr Mohd Daud Bakar
  3. Dr Muhammad Amin Ali Qattan
  4. Dr Osama Al Dereai
The following persons are the executive level within the Shariah Adviser who are responsible for the Fund are:
  1. Ainul Azura Zakiyudin; and
  2. Amran bin Ibrahim
The profiles of the Shariah Advisers of the Funds are as follows: Shariah Supervisory Board Members DR. MOHAMED ALI ELGARI

Dr. Mohamed Ali Elgari is a Professor of Islamic Economics and the former Director of the Centre for Research in Islamic Economics at King Abdul Aziz University in Saudi Arabia. Dr Elgari is the recipient of the Islamic Development Bank Prize in Islamic Banking and Finance and holds the KLIFF Islamic Finance Award for Most Outstanding Contribution to Islamic Finance (Individual).

He is a member on the editorial board of several academic publications in the field of Islamic Finance and Jurisprudence, among them Journal of the Jurisprudence Academy (of the IWL), Journal of Islamic Economic Studies (IDB), Journal of Islamic Economic (IAIE, London), and the advisory board of Harvard Series in Islamic Law, Harvard Law School.

Dr. Elgari is also an advisor to numerous Islamic financial institutions throughout the world and is notably on the Shariah board of the Dow Jones Islamic index as well as a member of the Islamic Fiqh Academy and the Islamic Accounting & Auditing Organisation for Islamic Financial Institution (AAIOFI). He obtained his PhD in Economics from the University of California, USA.

DATUK DR MOHD DAUD BAKAR

Datuk Dr. Mohd Daud Bakar is the Founder and Executive Chairman of Amanie Group. One of its flagship companies namely Amanie Advisors, is operating in few cities globally. He currently serves as the Chairman of the Shariah Advisory Council at the Central Bank of Malaysia, the Securities Commission of Malaysia, the Labuan Financial Services Authority, the First Abu Dhabi Bank, and Permodalan Nasional Berhad. He is also a Shariah board member of various global financial institutions, including the National Bank of Oman (Oman), Amundi Asset Management (France), Bank of London and Middle East (London), BNP Paribas Najma (Bahrain), Natixis Bank (Dubai), Oasis Asset Management (South Africa), Noor Islamic Bank (Dubai), Morgan Stanley (Dubai), Sedco Capital (Saudi and Luxembourg), and Dow Jones Islamic Market Index (New York) amongst many others.

In the corporate world, Datuk sits as a Board Director at Sime Darby Property Berhad and a member of the PNB Investment Committee. He was recently appointed as a Chairman to Malaysia Islamic Economic Development Foundation (YaPEIM). He is also the third Chair Professor in Islamic Banking and Finance of Yayasan Tun Ismail Mohamed Ali Berdaftar (YTI) PNB at Faculty of Economics and Muamalat, Universiti Sains Islam Malaysia (USIM). In addition, he is the co-founder of Experts Analytics Centre Sdn Bhd and MyFinb, as well as the Editor-in-Chief of Malaysian Business.

In 2016, he received the "Award of Excellence for Outstanding Contribution for Shariah Leadership & Advisory" at London Sukuk Summit Awards and "Shariah Adviser Award" at The Asset Triple A Islamic Finance Award. In 2014, he received the "Most Outstanding Individual" award by His Majesty, the King of Malaysia, in conjunction with the national-level Prophet Muhammad’s birthday. Under his leadership, Amanie Advisors received the "Islamic Economy Knowledge Infrastructure Award" at the Global Islamic Economy Summit, Dubai 2015, by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, Oct 2015.

Prior to this, Datuk was the Deputy Vice-Chancellor at the International Islamic University Malaysia. He received his first degree in Shariah from University of Kuwait in 1988 and obtained his PhD from University of St. Andrews, United Kingdom in 1993. In 2002, he completed his external Bachelor of Jurisprudence at University of Malaya.

DR. MUHAMMAD AMIN ALI QATTAN

Dr. Qattan is a highly regarded Shariah Scholar and is currently the Director of Islamic Economics Unit, Centre of Excellence in Management at Kuwait University.

Not only is he an accredited trainer in Islamic Economics, he is also a lecturer as well as a prolific author of texts and articles on Islamic economics and finance. He also serves as the Shariah advisor to many reputable institutions such as Ratings Intelligence, Standard & Poors Shariah Indices, Al Fajer Retakaful amongst others. He obtained B.A. Islamic Economics from Al-Imam University, Riyadh, Saudi Arabia and Ph.D. Islamic Banking from Birmingham University, United Kingdom.

DR. OSAMA AL DEREAI

Dr Osama Al Dereai is a renowned Shariah scholar and has extensive experience in teaching, consulting and research in the field of Islamic finance.

Dr Al Dereai is a Shariah board member of various financial institutions which include the First Leasing Company, Barwa Bank, First Investment Company and Ghanim Al Saad Group of Companies amongst others. He received his B.Sc. Hadith Al Sharif, International Islamic University of Medina, MA from International Islamic University Malaysia and he also holds PhD in Islamic Transactions from University of Malaya, Malaysia.

Executive Level

Ainul Azura Zakiyudin is the Chief Operating Officer of Amanie Advisors Kuala Lumpur, Malaysia office. She holds Bachelor of Law (Honours), MARA University of Technology Malaysia and was admitted to Malaysian BAR as an Advocate and Solicitor of the High Courts of Malaya in 2000.

Azura joined Amanie Advisors (Kuala Lumpur) in 2013 and has been involved in various product structuring, development and enhancement of Shariah compliant products. She has also involved in providing Shariah advisory services for issuance of sukuks, conversion exercises, establishment of Islamic financial business, establishment of Shariah compliant products for non-financial business, Shariah monitoring and compliance review for financial institutions and asset management companies. Prior to joining Amanie, Azura was an in-house legal adviser in PLUS Expressways Berhad (PLUS), where she received wide exposure in corporate legal work and involved directly in the issuance of several sukuks, restructuring of sukuk and other corporate exercises initiated by the company.

Amran Ibrahim is a Senior Consultant with Amanie Advisors Kuala Lumpur, Malaysia office. He graduated with a Bachelor of Business Administration (Hons) Finance from Mara University of Technology Malaysia. He started his career in CIMB Islamic with the Business Financing & Investment Department. In 2006, he joined the Product Development Department and was responsible for research, design, development and launching of competitive Islamic banking products.

Prior to joining Amanie, Amran was with Cagamas Berhad, the National Mortgage Corporation of Malaysia as Assistant Vice President in the Islamic Business Department. He was actively involved in the issuance of sukuk as well as conceptualisation and development of new Islamic financial products.

Roles, Duties and Responsibilities of Shariah Adviser The role of the Shariah Adviser is to ensure that the operations and investments of the Fund are in compliance with the Shariah requirements. The Shariah Adviser shall provide the followings Shariah advisory services:
  1. Advising on all aspects of ETF and trust management business in accordance with Shariah principles;
  2. Providing its Shariah expertise and reasoning on the Shariah-compliance of the Fund in the Shariah pronouncement with regards to the structure, creation and redemption of the Units in the Fund, as well as trading of the Units in the secondary market;
  3. Providing expertise and guidance for the Fund in all matters relating to Shariah requirements, including the Deed, the Participating Dealer Agreement, Liquidity Provider Agreement, the Prospectus and the Custody Agreement and the Gold Provider Agreement, its structure and investment process, and other operational and administrative matters;
  4. Ensuring that the Fund is managed and operated in accordance with Shariah principles, relevant SC regulations and/or standards, including resolutions issued by the SC’s Shariah Advisory Council and Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) Shariah Standards on Gold;
  5. Preparing a report to be included in the Fund’s interim report (if any) and annual report certifying whether the Fund has been managed in accordance with Shariah principles for the financial period concerned;
  6. Reviewing the Fund’s compliance report, investment transaction report and any other report deemed necessary for the purpose of ensuring that the Fund’s investments are in line with Shariah requirements;
  7. Consulting the SC where there is any ambiguity or uncertainty as to an investment, instrument, system, procedure and/or process in relation to the Shariah requirements; and
  8. Assisting and attending to any ad-hoc meeting called by the SC and/or any other relevant authority.

The Shariah Adviser shall meet with the manager from time to time should the circumstances require, and in any event, at least once a year to review and advise on the Fund’s operating procedures and investments o be compliance with Shariah principles.

The Shariah Adviser shall conduct an annual Shariah audit, which includes site visits to ascertain the Custodian’s safe-keeping of the Gold Bars and prepare an annual Shariah audit report in the Funds compliance status for the financial period concerned which to be included in the Fund’ annual report.

GENERAL

  • ETF, or exchange-traded fund is a collective investment scheme that invests in a basket of investment instruments (such as stocks, bonds, commodities, or other securities) to mirror the performance of the index that it tracks
  • ETFs are unique as they can be traded like a common stock on the stock exchange – and also experience price changes throughout the trading day as they are bought and sold.
  • In this case, the TradePlus Shariah Gold Tracker’s underlying asset is gold. Hence it mirrors the performance of gold price, or more precisely the LBMA Gold Price AM which is widely used as a principal global benchmark for daily gold price.
  • Passive vs. Active
    • ETFs are typically passively managed where its objective is to closely track the performance of its benchmark or its referenced index, irrespective of the outlook on the market.
    • On the other hand, Unit Trust Funds (“UTF”) are typically actively managed, where the Manager has the flexibility to shift away from its optimal asset allocation depending on the Manager’s outlook of the market.
  • Higher trading frequency
    • ETF units are traded on the stock exchange, providing investors with the opportunity to transact units at any point throughout the trading day.
    • This defers from the subscription and redemption of units within a UTF, which can only be done once a day at a specific time.
  • Low-cost investment
    • Given its passive investment style, ETFs typically have a lower cost as compared to UTFs.
    • Management fees for a typical actively managed UTF ranges from 1.00-2.00% per annum, depending on the investment asset class.
    • The passively managed ETF typically charges below 1.00% in Management fees per annum.
    • ETFs are also traded on Bursa Securities and allows investors to invest based on “number of units” as opposed to the “investment amount” used for UTFs. The current board lot size at Bursa Securities is 100 Units, whereas a typical UTF would require a minimum investment amount of MYR1,000.
  • The Fund appoints Market Makers, whose role includes ensuring liquidity for the ETF on the secondary market.
  • The Market Makers provide buy and sell quotes within a predefined spread (the difference between the buy and sell price).
  • Through its inventory, the Market Maker is also able to ensure, to the best of their ability, that there is a buyer for every sell order, and a seller for every buy order.

ABOUT TRADEPLUS SHARIAH GOLD TRACKER

  • The TradePlus Shariah Gold Tracker (“Fund”) is an exchange-traded fund that provides investors a Shariah-compliant avenue to invest in physical gold without the hassle of storing or insuring gold bullion.
  • The Fund aims to provide investors with a performance that closely mirrors its benchmark, which is the LBMA Gold Price AM.
  • Through its ETF structure, units of the Fund can be traded on Bursa Malaysia Securities.
  • Over the centuries, gold has been interwoven into society as a unique asset of wealth and value.
  • Today, it has become an essential piece of a diversified investment portfolio and is widely considered as an effective wealth preservation tool during adverse and uncertain market conditions.
  • The commodity’s low correlation with most asset classes also allows it to be a suitable portfolio diversifier.
  Shariah-compliant Gold ETF Conventional Gold ETF
Underlying investments
  • Assets will need to be physically backed at all times.
  • i.e. the TradePlus Shariah Gold Tracker (“Fund”) is required to meet its asset allocation of 95% of the Fund’s NAV in physical gold bars.
  • Allows broader flexibility.
  • The fund may hold physical bars as well as derivatives or other forms of investments that provides investors to exposure into gold.
Segregation and allocation of assets
  • When safe-kept, all assets owned by the fund are segregated from the assets owned by other investors.
  • There will be no co-mingling of assets between the fund and other investors.
  • The gold will be placed in an allocated account for the Fund, providing the fund with full ownership of the assets.
  • While conventional structures may have similar practice, it allows greater flexibility thus allowing co-mingling of assets.
  • The conventional structure also allows for the fund to place its assets in unallocated accounts – which results in the fund to not have full ownership over the assets.
Shariah adviser
  • A Shariah adviser is appointed to ensure that the fund’s operations meet the strict guidelines and is in compliant with the Shariah requirements.
  • The advisers serve as an additional layer of checks through periodic reviews/ audits which are carried out for the certification of the fund
  • Not applicable
Redemption of physical assets
  • A Shariah fund allows for redemption of physical assets upon meeting the minimum redemption amount
  • Dependent on structure
  • Not all conventional structures provide the facility of physical asset redemption
Assets on loan
  • The fund may not loan out any of its assets for gains
  • The fund will have full ownership of all its assets at all times
  • Conventional funds have the option to loan its assets out for prospects of additional gains
  • The lending out of assets may potentially expose the fund to additional risks
Permissible investments
  • All investment carried out by the fund will be made into Shariah-compliant investments only
  • These include the purchase of gold, and any placement of deposits, as well as investments into money market instruments, if any
  • Unconstrained
  • Yes, the TradePlus Shariah Gold Tracker (“Fund”) is a passively managed fund.
  • The Manager, Affin Hwang Asset Management Berhad, does not take an active view on the outlook of the commodity – as such, the Fund will look to maintain a higher exposure into gold at all times irrespective of the outlook of the market.
  • The Fund would serve as a trading tool for investors to move in and out of the market dependent on their own views of the market.
  • All units created by the TradePlus Shariah Gold Tracker (“Fund”) are physically backed by gold bars that are purchased from refiners that are accredited by the London Bullion Market Association (“LBMA”) – which are of a minimum 99.50% fineness.
  • As such, the price of the Fund will move in line with the price of its underlying assets – gold.
  • Nevertheless, investors should note that the Fund may maintain an exposure of not more than 5.00% in liquid assets to cater to any fees incurred by the Fund.
  • Annual Management Fee - Currently 0.30% p.a. of the NAV of the TradePlus Shariah Gold Tracker (“Fund”) calculated and accrued daily using the Fund’s base currency (USD)
  • Annual Trustee Fee – Currently 0.06% p.a. (excluding custody fees and charges) of the NAV of the Fund calculated and accrued daily using the Fund’s base currency (USD)
  • Annual Custodian Fee – Currently 0.20% p.a. of the value of the gold bars held with the custodian, accrued daily and payable monthly using the Fund’s base currency (USD)
  • Quarterly Index Licence Fee – Currently 0.0075% of the Peak AUM, subject to a minimum of USD250 and a maximum of USD10,000
  • The investment amount will be dependent on prevailing unit price and number of shares purchased.
  • Trading on Bursa Malaysia Securities will based on a minimum of 100 units traded – transacted in Malaysian Ringgit only.
  • Trading on the primary market can be done through the Participating Dealer(s); where creation / redemption of units will be carried out with a minimum block size of 500,000 units – transacted in US Dollar.
  • The Participating Dealer assists with the facilitation of creation and redemption of Units by the investors for the Fund.
  • Investors are required to liaise with the Participating Dealer(s) for all creation and redemption transactions.
  • You may refer to the latest list of Participating Dealer(s) of the TradePlus Shariah Gold Tracker here.
  • Yes, there is a cap to the total amount of redemptions acceptable by the TradePlus Shariah Gold Tracker (“Fund”) on a single Dealing Day.
  • The cap is in line to that provided by the Fund’s Gold Provider, which currently stands at 30 million units on a single Dealing Day.
  • Yes, the Gold Provider has ensured its services to provide a market for both the purchase and sale of gold for the TradePlus Shariah Gold Tracker (“Fund”).
  • However, purchase of gold would be dependent on market availability; and the sale of gold is subjected to a cap of 30 million units on a single Dealing Day.
  • Yes, investors may make in-kind redemption where units of the TradePlus Shariah Gold Tracker can be exchanged for physical gold.
  • Currently, the minimum in-kind redemption unit block is 500,000 units which is equivalent to approximately 5kgs of gold bars (while the balance will be given in cash component). The quantity of gold bars is only indicative and is subject to change from time to time.
  • In-kind redemption of physical gold will take place at the vault where the assets are safe-kept.
  • All fees incurred throughout the process of collecting the physical gold shall be borne by the investor – fees may include, but is not limited to logistics cost, insurance cost of the assets upon physical redemption, taxes (if any), etc.
  • The gold bars of the TradePlus Shariah Gold Tracker (“Fund”) are safe-kept in a secured vault in Singapore; in which the vault operator is a delegate of the Fund’s custodian.
  • The gold bars kept within the premise of the vault are insured through the Fund’s custodian.
  • The TradePlus Shariah Gold Tracker (“Fund”) is regulated and governed by Bursa Malaysia, and Securities Commission Malaysia – and all of its assets are held in trust by the Trustee, who acts in the best interest of investors.
  • A team comprising various parties including the Manager, Trustee, Shariah Advisor, and the Auditor will visit the vault to perform an audit on the assets where it is safe-kept at a frequency no less than once per annum.
  • Investors are able to view the list of assets held by the Fund which entails the number of gold bars held, its weight, refiner, as well as serial number.
  • The list is updated on a monthly basis to cater to all transactions that may have taken place over the Fund’s business day.
  TradePlus Shariah Gold Tracker (“Fund”) Physical Gold Gold Investment Account
Regulated
  • Yes
  • Fund is regulated by both Bursa Malaysia, and Securities Commission Malaysia
  • No
  • Gold investment accounts offered by Financial Institutions are regulated by Bank Negara Malaysia
Backed by physical assets
  • Yes
  • Yes
  • Dependent
Allows physical redemption
  • Yes
  • Minimum redemption unit block is currently 500,000 units
  • Yes
  • Dependent
  • Redemption of physical assets would be dependent on the Financial Institution
Readily tradeable
  • Yes
  • Units may be traded on the securities exchange on any Business Day
  • Minimum trading size via Bursa Malaysia Securities is currently 100 units
  • Price would be based on prevailing market pricing – and dependent on willing buyer / willing seller basis
  • Dependent
  • Ability to trade the assets would be dependent on the type of assets held e.g. jewellery, gold bars / coins, etc.
  • Trades would largely be confined to parties such as jewellery stores, jewellery traders, and / or pawn shops
  • Yes
  • Transactions would be confined to prices provided by the Financial Institution
  • Bid / offer spread dependent on the Financial Institution
Insurance
  • Not required
  • Assets within the Fund would be insured based on the terms and conditions within the Custodian agreement
  • However, insurance would be required for withdrawals in the form of physical assets
  • Required
  • For safety purposes, insurance would be required to mitigate potential loss through theft or otherwise
  • Not required
  • However, insurance would be required for withdrawals in the form of physical assets
Holding costs
  • Cost would be comparatively lower than the option of holding physical assets
  • Cost would be comparatively higher given the additional costs required for insurance and storage
  • Cost would be comparatively lower than the option of holding physical assets
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