PRECIOUS METALS | Singapore Launches First Gold ETF Tracking Domestic Vaults

Singapore has introduced its first exchange-traded fund (ETF) that tracks gold stored in domestic vaults, expanding retail investors' access to the precious metal. According to Jin10, the LionGlobal Physical Gold ETF began trading on the Singapore Exchange (SGX) on Thursday. Prior to its official listing, the fund had been available for over-the-counter trading on several financial service platforms in Singapore for about four months, catering to both retail and institutional investors. The SGX stated that the public listing marks a significant step in enabling retail investors to incorporate gold into their investment portfolios. The fund is backed by investment-grade gold bars with a purity of at least 99.5%. Gold is traditionally viewed by investors as a safe-haven asset during times of market volatility. However, ongoing conflicts in the Middle East are challenging this perception. XS.com market analyst Linh Tran noted in a report this week that gold has experienced a nine-day consecutive decline, indicating strong corrective pressure as the market reassesses global monetary policy expectations. Tran added that the gold market is no longer directly responding to geopolitical risks but is instead influenced by indirect factors such as inflation.