Global X Physical Silver
|Magellan Minutes: Chat GPT and its Implications|
|Magellan April 2023 Global Strategy Update|
About this Fund
|FUND MANAGER||Global X Management (Aus)|
|ASSET CLASS||EXCHANGE TRADED FUNDS|
|INVESTMENT STYLE||The Fund aims to replication the spot price of its underlying metal(s).|
|INVESTMENT PROFILE||The Fund provides a return equivalent to the movements in the spot price of its underlying metal(s) less the applicable management fee.|
|BENCHMARK||LBMA Silver Price USD|
|FUND SIZE||LBMA Silver Price USD|
|NO. OF HOLDINGS|
|FEES||0.49% p.a. of the NAV of the Fund|
Benefits of investing in the Global X Physical Silver ETF
|RISK LEVEL||High - Very High|
Capital Growth/Capital Preservation
Satellite/small allocation (<25%)
The investments held by the Product are highly liquid. Under normal circumstances, unit holders are able to buy and sell units in the Product on the ASX on any trading day.
Fund overview / Investment Objective
ETPMAG is designed to offer investors a simple, cost-efficient and secure way to access silver by providing a return equivalent to the movements in the silver spot price less the applicable management fee.
ETPMAG is backed by physical allocated silver held by HSBC Bank plc (the custodian). Only metal that conforms with the London Bullion Market Association's (LBMA) rules for Good Delivery can be accepted by the custodian. Each physical bar is segregated, individually identified and allocated.
ETPMAG is an Exchange Traded Commodity ("ETC") that can be created and redeemed on demand (by market makers). It trades on the ASX just like an equity, is settled and held in ordinary brokerage accounts, and its pricing and tracking operates similarly to an Exchange Traded Fund.No new securities can be issued until the bullion is delivered to the Custodian's vault. There is no credit risk within this product.
About the Pricing
Each individual Global X Physical Silver Security has an effective entitlement to silver, and that entitlement changes daily to reflect the accrual of the management fee.
Authorised participants create and redeem Global X Physical Silver Securities by delivering or receiving silver that conforms to LBMA standards.
Global X Physical Silver Securities are traded on exchange with a price that is based on the spot price of silver multiplied by the applicable metal entitlement in Australian dollars.
How we invest your money
Components of a Metal Security
A Metal Security is comprised of a Metal Share of nominal value plus a Beneficial Interest in the relevant amount of Bullion (the Metal Entitlement), which Bullion is held in a Separate Trust for each Holder.
A Metal Share is a redeemable preference share with a nominal value of 1/1000th of 1 cent which carries with it a right to the Metal Entitlement applicable to that class of share. Although a Metal Share in itself has no economic value, it exists in order to provide a class of "share which is tradeable on the ASX.
The economic value of each Metal Security lies in the Metal Entitlement which is carried around with each Metal Share. Whenever there is a transfer in ownership of a Metal Share, there is a corresponding transfer in the ownership of the Metal Entitlement applicable to that Metal Share.
Pursuant to the Trust Deed, a Separate Trust is established for each Holder of a Metal Share and the Metal Entitlement is held by the Trustee on trust for each such Holder. Each Holder will therefore hold:
There will be a separate Metal Entitlement for each class of Metal Security, which as at 16 September 2022 was:
0.934887897 troy oz.
The Metal Entitlement for each class of Metal Security will be calculated daily by the Company, to nine places of decimals with 0.0000000005 troy ounces (or fine troy ounces in the case of gold) rounded upwards, and will be published on the parent company's website and will also be available through the ASX electronic news announcement system.
The Management Fee may be varied by the Company at any time, but in the case of an increase, such variation may only be made after giving 30 days' prior notice to all Holders (to be released through the CAP).