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Approval of Gold ETF and the Beginning of the Uptrend
Gold ETFs have undergone a profound change in the financial markets after approval. When a gold ETF product was first launched in 2004, investors began to more easily track changes in gold prices thanks to this new instrument.
The First Gold ETF Product Launched in 2004
When the gold ETF was successfully introduced to the market for the first time, the start of a long-term upward trend in gold prices was no coincidence. Because this product offered a much more accessible option compared to traditional gold investment, it changed the preferences of many investors.
In the first seven years, the gold price appreciated by 359%. This strong performance demonstrated how important gold ETF products have become in investors’ portfolios. Many sectors, especially institutional investors, began participating in the market by choosing this new investment tool.
SEC and BlackRock: Approval Process
The approval process for gold ETFs had been on the agenda in previous years with various applications. Large asset management companies like BlackRock aimed to launch new products by submitting gold ETF applications to the SEC (U.S. Securities and Exchange Commission).
Especially the applications made in 2024 show a renewed interest in the gold ETF market. The approval decisions given by the SEC indicated that these investment vehicles would establish a permanent place in the market.
The Significance of Gold ETF Products Today
Today, many approved and developed gold ETF products play a vital role in diversifying investors’ portfolios in the digital age. Since their initial success, gold ETF products have become a standard investment instrument on exchanges. Thanks to gold ETFs, investors can evaluate market opportunities without the difficulties of holding physical gold.