PALO ALTO, CA - May 15, 2014 (Investorideas.com Mining stocks newswire) Merk Investments enters the ETF market with the launch of the Merk Gold Trust, the deliverable gold ETF. Merk Gold Trust shares will trade on the NYSE Arca under the symbol "OUNZ". The Merk Gold Trust (OUNZ) provides investors with the opportunity to buy and hold gold through an ETF with the option to take delivery of physical gold if and when desired:
The Merk Gold Trust holds gold bullion as allocated "London Bars" vaulted in London. OUNZ shareholders own a pro-rata share of the gold held by the Trust.
Investors have the option to take delivery of their gold in exchange for their OUNZ shares. If and when desired, investors may request delivery of the London Bars held by the Trust, as well as exchange their shares for gold coins (or bars) that are more commonly desired by individual investors.
Typically, taking delivery of gold is not a taxable event1, as investors are merely taking possession of what they already own: their gold.
As an ETF, OUNZ seeks to track the price of gold less the expenses of the Trust's operations.
"We believe we have revolutionized commodity investing by bridging the world between institutional and individual investors. Gold investing will never be the same, as investors may now buy gold with the ease of an ETF, but also have the option to take delivery of their gold when they want, where they want, in the form they want," explains Axel Merk, President and Chief Investment Officer of Merk Investments.
James Machuga, Merk's Vice President for Advisor Services adds: "We believe OUNZ will not only be embraced by retail investors, but gives advisors and institutional investors the opportunity to assure their clients that their gold is deliverable."
Axel Merk expands: "As a large gold investor ourselves in our Merk Hard Currency Fund, we wanted a better way to hold gold. Having studied perceived deficiencies of other gold ETFs, we devised the Trust's Guiding Principles (available in the Prospectus and at www.merkgold.com) as the philosophy upon which we built the Merk Gold Trust. By creating an open-end exchange-traded product, we make OUNZ available to all investors. Even if investors currently don't plan to take advantage of the opportunity to exchange their shares for gold, investors may appreciate that they have the option to take delivery of their gold should they change their mind. To serve investors in OUNZ, we have created a highly scalable and robust delivery process. We are thrilled to announce that the U.S. Patent office agrees that our process is truly innovative by granting a patent on the delivery process."
As an incentive for investors to test the delivery process, Merk is offering reduced exchange fees from those stated in the prospectus until further notice. Please see www.merkgold.com/fees.html.
For important information about the Merk Gold Trust, including how to obtain a prospectus and how to invest, please visit www.merkgold.com.
About Merk Investments
Merk is a leader in the currency asset class and a pioneer in providing uncorrelated returns and portfolio diversification through transparent no-load currency and gold funds. The Merk Funds may provide valuable diversification benefits. Merk White Papers and other primary research on the currency asset class and gold can be found at www.merkfunds.com. The Merk Funds® include: the Merk Hard Currency Fund® (MERKX), the Merk Asian Currency Fund® (MEAFX), the Merk Absolute Return Currency Fund® (MABFX) and the Merk Currency Enhanced U.S. Equity Fund® (MUSFX), as well as the Merk Gold Trust (OUNZ).
About Axel Merk
Axel Merk is the Founder, President and Chief Investment Officer of Merk Investments, the Authority on Currencies. Together with the Merk portfolio team, he manages the Merk Hard, Asian and Absolute Return Currency Funds, as well as the Merk Currency Enhanced U.S. Equity Fund and The Merk Gold Trust. Axel Merk is an expert and on macro trends, hard money, gold and international investing. Visit www.merkfunds.com to sign up for Merk Insights, providing the Merk Perspective on the Dollar, gold, macro trends, the Fed, and more.
For more information, or to schedule an interview, please contact:
This information does not constitute a solicitation or an offer to buy or sell any investment security, nor provide investment advice. Merk Investments LLC.
This material must be preceded or accompanied by a prospectus. Before investing, you should carefully consider the Trust's investment objectives, risks, charges and expenses. This and other information is in the prospectus, a copy of which may be obtained by visiting www.merkgold.com/prospectus or calling 855-MRK OUNZ. Please read the prospectus carefully before you invest.
Investing involves risk, including possible loss of principal. The Trust is not an investment company registered under the Investment Company Act of 1940 or a commodity pool for the purposes of the Commodity Exchange Act. Shares of the Trust are not subject to the same regulatory requirements as mutual funds. Because shares of the Trust are intended to reflect the price of the gold held in the Trust, the market price of the shares is subject to fluctuations similar to those affecting gold prices. Additionally, shares of the Trust are bought and sold at market price, not at net asset value ("NAV"). Brokerage commissions will reduce returns.
Commodities and commodity-index linked securities may be affected by changes in overall market movements and other factors such as weather, disease, embargoes, or political and regulatory developments, as well as trading activity of speculators and arbitrageurs in the underlying commodities.
Trust shares trade like stocks, are subject to investment risk and will fluctuate in market value. The value of Trust shares relates directly to the value of the gold held by the Trust (less its expenses), and fluctuations in the price of gold could materially and adversely affect an investment in the shares. The price received upon the sale of the shares, which trade at market price, may be more or less than the value of the gold represented by them. The Trust does not generate any income, and as the Trust regularly issues shares to pay for the Sponsor's ongoing expenses, the amount of gold represented by each Share will decline over time. Investing involves risk, and you could lose money on an investment in the Trust. For a more complete discussion of the risk factors relative to the Trust, carefully read the prospectus.
The sponsor of the Trust is Merk Investments LLC (the "Sponsor"). Foreside Fund Services, LLC, provides marketing services to the Trust.
1. It is expected that, if investor submits shares to the Trust, the exchange for physical gold will generally not be a taxable event. See tax discussion in prospectus. Not tax advice; please consult with a tax professional for tax advice.
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