Gold ETFs log US$21B rise in first quarter, WGC says

Global gold exchange-traded funds (ETFs) grew by US$21 billion in the first quarter to reach their second highest quarterly level by value since the second quarter of 2020 at the start of the pandemic.

Combined, the 70 unhedged gold ETFs had assets of $261.7 billion at the end of March, according to data from ETF research firm MineralFunds.

Yellow metal price momentum that has seen gold rise 19.4% this year to $3,131.85 per oz. on Thursday, and uncertainty fuelled by tariff woes spurred significant inflows last month, the World Gold Council said in a report on Tuesday. Inflows totaled more than 67.4 gold tonnes in North America and 13.7 tonnes in Europe.

‘Increases across the board’

“The added tonnes [represent] an increase in the number of buyers of gold,” Christopher Berlet, president of MineralFunds, told The Northern Miner.

“This new buying in North America is the inverse of last year, when there was an increase of ETF holdings in Asia, and decreased holdings in the U.S., Canada and Europe. This year we see increases across the board. The first quarter of 2025 we see new buyers and new shareholders. Gold still dominates.”

North America logged 61% of net inflows in the quarter and Europe had 22%, the WGC said.

In Asia, Japan and China topped inflows in March, at more than 9.4 million gold tonnes. India experienced mild outflows.

Total metal holdings climbed 3% to 3,445 tonnes by the end of March, their highest month-end level since May 2023.

Chinese ETFs have booked over $1 billion of inflows since the start of April.

Across the 121 physical metal ETFs, 19 hold silver, five have gold and silver and some – which are classified as precious metal ETFs – have platinum group metals, Berlet said. Another three hold uranium or battery metals, 13 have PGMs and 11 have base metals.

Despite the first quarter gains, investment in ETFs has been criticized for diverting money away from exploration companies.