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Amundi expands gold ETC offerings with new issuance

Published 12/20/2024, 07:30 PM
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LONDON - Amundi Physical Metals plc (GLDA) has announced the issuance of 88,400 new ETC securities, under its Amundi Physical Gold ETC, representing Tranche 636. This issuance, dated December 19, 2024, increases the total number of ETC securities in the series to 51,490,555.00.

The issuer, Amundi Physical Metals plc, aims to provide investors with exposure to gold prices through the ETC securities, which are linked to the performance of the metal without requiring physical delivery. The securities are part of a program established for the issuance of ETC securities backed by gold, with each series linked to the price of the precious metal.

Each ETC security corresponds to a specific weight in gold, entitled as the "Metal Entitlement," which is subject to a Total (EPA:TTEF) Expense Ratio (TER) to cover operational fees. The TER is deducted from the Metal Entitlement daily to fund the issuer's operational fee to Amundi Asset Management S.A.S, the advisor.

The gold backing the ETC securities is held by HSBC Bank plc as the custodian and is generally maintained on an allocated basis, ensuring it is held in segregated accounts specific to each series. The issuer has secured the obligations under the ETC securities through a security deed governed by Irish and English law, with the rights of the issuer under the agreements related to the ETC securities and the underlying gold serving as collateral.

The ETC securities are designed to be freely transferable, with applications made for the securities to be admitted to Euronext (EPA:ENX) Paris and trading on regulated markets thereof. Similar applications have been made for Euronext Amsterdam, Deutsche Börse, Borsa Italiana, the London Stock Exchange (LON:LSEG), and the International Quotation System of the Mexican Stock Exchange.

Investors should note that the value, secondary market price, and redemption amounts of the ETC securities can fluctuate based on gold price movements and market perceptions. The issuer has the right to initiate an early redemption event, and the Total Expense Ratio may be varied upon the advisor's request.

This issuance is based on a press release statement and is intended to offer an alternative means for investors to gain exposure to gold prices through the securities market.

For additional information on the ETC securities and the issuer, investors are advised to review the full prospectus and final terms of the issuance.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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