Name of ETF: VelocityShares 3x Inverse Gold ETN
ETF Provider: Velocity Shares
Asset Tracked or Index Benchmark: S&P GSCI Gold Index ER (SPGSGCP)
ETF Categories: Gold ETF, Precious Metal ETF, ETN, Inverse ETF, Leveraged ETF, Commodity ETF
Description of Fund: DGLD correlates with the S&P GSCI Gold Index and is designed to give traders exposure to the COMEX gold future. But since it is an inverse note, it moves in the opposite direction. As the index falls, the price of DGLD rises. The gold ETN also seeks a 3x leveraged return on the daily performance of the underlying index. So when the index calculates its daily return, the goal of DGLD is to have a return that is triple the value of the index's return.
Top Holdings in SYMBOL: DGLD does not hold any physical gold, but instead uses derivative contracts such as gold futures to achieve its investing goals.
DGLD also has a sister ETF that trades under the symbol UGLD. Like DGLD it is a 3x leveraged ETN targeting the price of gold futures, but in the case of UGLD, the exchange traded note is not an inverse ETN. You can learn more about the ETN on the UGLD fact sheet.
Top Sectors Represented in DGLD: Gold Sector
Inception Date of SYMBOL: October 14th, 2011
Lists of ETFs that Include DGLD: