Amundi Physical Gold ETC expands with new tranche

LONDON - Amundi Physical Metals plc has announced the issuance of Tranche 704 of its Amundi Physical Gold ETC, part of its Secured Precious Metal Linked ETC Securities Programme. This addition, scheduled for June 6, 2025, will bring the aggregate number of ETC Securities immediately following the issue to 62,591,859.00.

The new tranche, comprising 80,000 ETC Securities, is linked to physical gold with an initial metal entitlement of 0.04 fine troy ounces. Each ETC Security is designed to provide investors with exposure to gold price movements without the need to take physical delivery of the metal.

Amundi Physical Metals plc, incorporated in Ireland, operates under a structure where obligations are secured by gold holdings, typically maintained in allocated accounts. The issuer has emphasized that investors will have recourse only to the secured property and not to any other assets of the company.

The ETC Securities, denominated in USD, are set to mature on May 23, 2118, with a Total (EPA:TTEF) Expense Ratio (TER) of 0.12% per annum. The ETC Securities are expected to be admitted to trading on several European exchanges including Euronext (EPA:ENX) Paris, Euronext Amsterdam, Deutsche Börse, Borsa Italiana, and the London Stock Exchange (LON:LSEG). Additionally, applications have been made for trading on 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 will be influenced by gold price fluctuations, market perceptions, and liquidity in the secondary market. The issuer has also outlined that the ETC Securities will not pay periodic interest.

This expansion is part of Amundi’s strategy to offer investors alternatives to direct investment in precious metals. The net proceeds from the issue of the ETC Securities will be in the form of metal, which will be used to fulfill the issuer’s obligations under the series.

The information is based on a press release statement from Amundi Physical Metals plc.

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