What is the difference between ETFS Physical Gold and Gold Bullion Securities?
The structures are very similar, track the spot price of Gold less management fees and both trade just like a stock on exchange. Gold Bullion Securities (LSE ticker: GBS) was the first physically backed Gold ETC in the world, listed in 2003. ETFS Physical Gold (LSE ticker: PHAU) was created in 2007 because ETF Securities recognised the need for an ISA eligible physically-backed Gold ETC. There is also a slight difference in management fee; GBS has a 0.40% per annum MER and PHAU has a 0.39% p.a. MER. Therefore, they are very similar products apart from the ISA eligibility which is relevant only for UK investors.
