AAAU charges 0.18% fees for physical gold, while GDX offers a $0.63 dividend but higher 0.51% expenses.
Investors choosing between gold ETFs face a trade-off between direct bullion exposure and mining equities. The Goldman Sachs Physical Gold ETF (AAAU) tracks gold prices with a 0.18% expense ratio, while the VanEck Gold Miners ETF (GDX) holds 57 mining firms at a 0.51% fee.
AAAU, launched in 2018, holds physical gold and pays no dividends. GDX, established in 2006, includes top holdings like Newmont (NEM) and Barrick (GOLD) and yields $0.63 per share annually. Miners offer higher volatility but potential income, while bullion provides stability.
The funds cater to different risk appetites, with AAAU appealing to cost-sensitive investors and GDX targeting those seeking dividends and sector leverage.