What you need to know about the new gold ETF – the Panther
On Wednesday, the Federal Reserve and the Securities and Exchange Commission announced a partnership to develop a gold ETF, with the goal of boosting investor confidence in the precious metal and providing investors with a safer and more diversified investment portfolio.
The investment company, Panther, will offer a 100% gold-based ETF, which it said will have a market cap of $500 billion.
“Gold is the gold standard, and this ETF will help to ensure the continued sustainability of gold, the world’s most valuable metal, as the world faces economic, geopolitical and economic challenges,” said Panther CEO Paul Trenckner.
“The Panther Gold ETF is the first investment vehicle in the US dedicated to providing investors and the broader community a secure and stable investment portfolio.”
The announcement comes at a time when gold prices are down sharply and are currently hovering at their lowest levels since December 2015.
“This ETF is a clear signal to investors that the Panter Gold ETF will be a solid, diversified, long-term investment for both long- and short-term investors,” said Jim Cramer, founder of Cramer’s MarketWatch and a former CEO of the investment firm Bridgewater Associates.
Panther has already raised over $6.5 billion from investors.
The ETF will initially be offered in three tiers, with a 10% allocation of gold.
Shares of the Pantagruel ETF (PAN) are currently trading for around $8.75.
Gold has enjoyed a significant rise in the last decade, with demand outpacing supply, especially in emerging markets such as China and Brazil.
The gold ETF will offer investors a portfolio of diversified products, including gold, silver, platinum, palladium, and zinc.
“The investment value of gold is now well above the $1,000 trillion mark and continues to rise,” said Richard Greenblatt, CEO of Panther.
“Gold continues to be a safe, secure and diversified asset class, which is why we’re so excited to be working with Panther to help to provide investors with the best possible investment opportunities.”
The Pantagrude Gold ETF (POR) is also offering a 50% allocation.
It is the second gold ETF in the Pantaagrube portfolio.