Re: Buying GTU now?
Posted: Wed Nov 12, 2014 3:18 pm
I finally got their answer on their "redemption" policy, and yes, it is a truly bogus policy that doesn't involve NAV.
Basically the only check on the discount is that someone could buy up 90% of the shares in the trust and take the gold or sell it and take the cash. Presumably that could happen if the discount gets large enough to make it worthwhile for someone with a billion or so in spare cash.
Basically the only check on the discount is that someone could buy up 90% of the shares in the trust and take the gold or sell it and take the cash. Presumably that could happen if the discount gets large enough to make it worthwhile for someone with a billion or so in spare cash.