Gold is consolidated as a refuge: the ETF funds added US $21,000 million in the first quarter

It was North America (61%) and Europe (22%) who represented the majority (83%) of net entries in the first quarter. For its part, Asia contributed to 16%an impressive figure considering that the total assets under management of the region only represents 7% of the global total. In addition, the flows of the first quarter in Europe, of US $ 4,600 million, stood out as the strongest quarter since the same period of 2020. as a result, and Thanks to the increase in the price of gold, the assets under the management of the Golden ETFs reached a new historical maximum of US $ 345,000 million, representing an increase of 13% monthly and 28% quarterly.

According to London metal market data, collective holdings increased to 3,445 tons at the end of March, which represents an increase of 92 tons in the month and 226 tons during the first quarter, reaching the highest month -end level since May 2023, just below the 3,915 tons of October 2020.

Gold: the reasons for the demand for shelter assets

How was the regional behavior of Global Gold ETF? On the one hand, The US demand led the global flows, adding US $ 6.5 billion and representing 76% of the total flows of the month, and adding US $12,900 million during the quarter. For experts, this increase can be attributed to already known factors: The strong impulse of prices caused gold to exceed the threshold of 3,000 dollars an ounce; The yields were maintained within the range; The dollar fell to levels not seen since last November; and tariff and war uncertainty provided continuous support.

Besides, The falls of the actionsdue to the concerns about the growth and liquidity of the market in the middle of the continuous quantitative adjustment (of the central banking, fed, ECB and others), They further promoted the demand for shelter assets by investors. Likewise, the increase in option activity helped boost tickets of US $ 2,100 million (22 tons) at the monthly expiration. As a result, North America funds registered another solid monthly performance and the region consolidated its important contribution to global quarterly flows.

The price factor and the risks of world commercial policy

As to Europeit can be highlighted that it registered considerable entries, attracting $ S1 billion in March YU $ S4.6 billion during the first quarter. March’s rebound originated mainly in the United Kingdom, Switzerland and Germany. Although the Bank of England did not modify its reference interest rate during its March meeting, gloomy growth prospects, also weighed with concern for tariffs in the US, the weak performance of the stock market and the increase in the price of gold, promoted demand in the United Kingdom. In addition, Despite the increase in the performance of the German bonus at 10 years in early March, in the midst of the ambitious expenditure plan in Germany, European investors continued to incorporate Golden ETFs into their walletssince the March cut of the ECB encouraged a greater relaxation of the expectations and tariff risks in the US conspired about the growth prospects.

In relation to Asiathe tickets were maintained for the fourth consecutive month, attracting almost US $ 1,000 million in March YU $ S3.3 billion during the first quarter. China and Japan dominated the demand in Marchprobably, according to experts, driven by the vertiginous rise in the price of gold, which eclipsed other assets during the month, and the growing risks of world commercial policy. In addition, they believe that concern for inflation could have promoted Gold ETFs in Japan. While In the case of India, moderate exits were recorded, ending its 11 -month ticket streaksince it is speculated that investors could have taken profits. The funds in other regions registered another month of positive demand, although only modestly, with US $ 98 million, since Australia and South Africa continue to register gold ETF tickets.