Understanding the U.S. GLOBAL GO GOLD AND PRECIOUS METAL MINERS ETF (GOAU)

What this ETF is trying to do

The GOAU ETF focuses on companies involved in mining precious metals, such as gold. Instead of owning physical gold bars, this fund invests in the businesses that find and dig these metals out of the ground.

What the numbers show

The current price of one share is $43.16. To understand how the value has changed, we can look at different timeframes:

• Year-to-Date (YTD): The price return is approximately 1.41%. The total return is also approximately 1.41%.

• One Year: The share-price return was about 3.08%. However, the total return—which includes distributions—was higher at approximately 4.01%.

• Three Years: This ETF has seen significant growth over a longer period. The share-price return was approximately 197.77%, while the total return was approximately 209.74%.

An estimated price from roughly one year ago was $41.87.

Top Holdings:

This ETF holds a variety of companies. Some of the largest include:

• Franco-Nevada Corp (10.24%)

• Royal Gold Inc (10.12%)

• Wheaton Precious Metals Corp (9.65%)

• Or Royalties Inc (4.12%)

• Triple Flag Precious Metals Corp (4.06%)

*Note: This is a partial list of the 33 total holdings, and holdings can change over time.*

Income and distribution explanation

Some investors look for ETFs that pay out cash, known as distributions. This ETF has a distribution yield of approximately 0.93%. The trailing distributions were $0.40 per share. It is important to remember that the distribution yield is not the same as total return. While distributions provide cash, they do not guarantee that your original investment will stay the same value.

NAV erosion explanation

"NAV erosion" refers to a decline in the Net Asset Value (the actual value of the assets held by the fund). If an ETF's price drops significantly, it can sometimes be a sign of erosion. For GOAU, the erosion-risk score is 94, which is labeled as "Stable / sideways." The erosion severity is rated as "good," and there is no severe erosion-risk flag present.

Pros

• Strong Long-Term Growth: The three-year and five-year total returns show significant historical growth.

• Stable Risk Profile: The erosion-risk measurements suggest the fund is currently stable.

Cons

• Irregular Income: The distributions are described as "irregular" or "less frequent," meaning you may not receive cash payments on a predictable schedule.

• Partial Data: The list of top holdings provided is only a partial view of the full portfolio.

Beginner takeaway

GOAU tracks companies in the precious metals mining industry. It has shown strong price growth over several years. While it does pay a small distribution, the frequency of these payments is irregular. Always remember that price returns (the change in share price) and total returns (price changes plus distributions) are different measurements.