Mineweb(Editorial) reports first gold-backed ETF to list on Hong Kong Exchange.

The SPDR Gold Trust marketed by State Street Global Advisors (SSgA), is designed to track the price of gold and trade like any stock on the exchange. The SPDR Gold Shares are backed by physical allocated gold bullion and will be denominated in Hong Kong Dollars. Investors can buy as little as one board lot of ten shares, with each share priced at approximately one-tenth of the spot price for an ounce of gold.

World Gold Council Chief Executive Officer, James Burton comments:

“The listing of SPDR Gold Shares on to the HKEx is a significant landmark for all Hong Kong investors, providing them with an efficient means of investing in the gold bullion market through a security that is listed on a regulated stock exchange.

“We have witnessed a significant increase in demand for gold from Hong Kong investors, with demand for gold at the retail level more than doubling in 2007.  With inflationary pressures from elevated oil prices, higher cost of imported goods and the weakness of the Hong Kong dollar, there are several compelling reasons for investors to seek access to gold‘s unique investment attributes as a safe haven and inflation hedge. 

“We’re confident that the latest listing of the SPDR^® Gold Trust will be an appealing prospect for investors in Hong Kong.”

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