Top Gold ETFs to Watch in 2025: Best Picks for Strong Returns and Low Costs

Top gold ETFs to watch in 2025 span U.S., Indian, Europe and Chinese markets, offering both physical gold exposure and mining stock leverage.
Based on the latest performance, expense ratios, and trends, key ETFs include:
  • SPDR Gold MiniShares Trust (GLDM): The best-performing gold ETF by one-year return in 2025, up around 44%, with a very low expense ratio (0.10%). It tracks physical gold closely and is highly liquid, making it a top choice for cost-conscious investors seeking strong recent gains (21).

  • iShares Gold Trust Micro (IAUM): Nearly matching GLDM’s performance with a 43.86% one-year gain and an even lower expense ratio (0.09%), this is an excellent low-cost option for gold exposure (2).

  • abrdn Physical Gold Shares ETF (SGOL): With about a 43.8% one-year return and expense ratio around 0.17%, this fund holds physical gold bullion and appeals to investors seeking stable, direct gold exposure (21).

  • GraniteShares Gold Trust (BAR): Tracks physical gold with an ultra-low expense ratio (0.17%) and a strong 2025 return near 44%. Ideal for low-cost physical gold investment (14).

  • SPDR Gold Shares (GLD): The largest gold ETF with $86.8B in assets and 13.67% year-to-date gain (as of March 2025). It remains a core holding for physical gold exposure globally (110).

  • VanEck Gold Miners ETF (GDX): Instead of holding physical gold, GDX invests in gold mining companies. It offers leveraged exposure to gold price movements with higher volatility but greater return potential, favored by active investors or those looking for leveraged gold sector gains (4710).

For Indian investors, the top gold ETFs by 5-year CAGR as of July 2025 include:

  • ICICI Prudential Gold ETF (about 13.8% CAGR)

  • HDFC Gold ETF (13.7%)

  • SBI Gold ETF (13.68%)

  • Kotak Gold ETF (13.65%)

  • Nippon India ETF Gold BeES (13.53%)

These funds track domestic gold prices and have strong market caps, making them popular in India for both long-term growth and inflation-hedging (3).

For European investors, key gold ETFs in Europe for 2025 primarily include physically backed gold ETFs and strong gold miner ETFs, both benefiting from the region’s geopolitical and economic environment:

  • WisdomTree Efficient Gold Plus Gold Miners Strategy Fund (GDMN): One of the top-performing gold equity ETFs in Europe, combining direct gold bullion gains with leveraged exposure to gold miners. It rose more than 75% in the first half of 2025, reflecting investor demand for inflation hedging and safe-haven assets.
  • Sprott Gold Miners ETF (SGDM): Offers diversified global gold mining exposure with a strong 62%+ gain in H1 2025, favored for active participation in the gold mining sector.
  • Themes Gold Miners ETF (AUMI): An actively managed European-focused gold miners ETF, earning about 60% returns in the first half of 2025.
  • SPDR European Shield ETF (SHLD): While broader in defense exposure, it also captures gold-related sectors with a 60%+ return, reflecting the interplay between defense spending and gold demand amid geopolitical risks.
  • Select STOXX Europe Aerospace & Defense ETF (EUAD): Though primarily defense-focused, it is relevant for gold investors as defense and gold miners have shown parallel strong performance in 2025 due to geopolitical tensions in Europe, with EUAD up nearly 78% year to date.
In general, the European gold ETF landscape in 2025 is strongly driven by:
  • Heightened geopolitical risks (e.g., Russia-Ukraine conflict) causing investors to seek safe havens.
  • Inflation concerns encouraging gold and gold miners as inflation hedges.
  • Strong inflows into gold mining ETFs, which offer leveraged exposure to gold prices.
  • Positive net flows boosting gold ETF assets after years of outflows in prior periods.
Compared to global gold prices, which rose roughly 28% in 2025, European gold miner ETFs have outperformed significantly due to leverage on miners and inflationary pressures in the region.

Notably, gold ETFs tracking physical bullion in Europe also benefit from strong investor demand, but much of the recent standout performance is by gold miners ETFs leveraging regional economic and geopolitical trends.

For retail European investors, platforms like justETF highlight these ETFs as key picks for gold exposure in 2025, balancing cost, liquidity, and regional market focus.

This paints a picture of Europe’s gold ETF market in 2025 as highly dynamic, with gold miner ETFs leading performance charts amid a backdrop of inflation, defense spending increases, and geopolitical uncertainty. 


For Chinese investors, demand for gold ETFs have surged remarkably in 2025, driven by factors such as geopolitical tensions, trade disputes, inflation concerns, and a shift toward safe-haven assets. Here is a combined overview of China and gold ETFs as of mid-2025:
  • Explosive Growth in China-Listed Gold ETFs: Chinese gold ETFs have experienced historic inflows, with total assets under management (AUM) surging by around 116% during the first half of 2025 to approximately RMB153 billion (about US$21 billion) and collective gold holdings reaching about 200 metric tons. The first half of 2025 marked the largest semi-annual inflow and record AUM for these ETFs. (World Gold Council)
  • Strong Performance: Gold ETFs in China outperformed many global peers with significant monthly inflows and record demand especially in April 2025 when RMB49 billion (~US$6.8 billion) were added in a single month. This inflow was the strongest monthly gold ETF demand on record, fueled by geopolitical tensions and trade war fears between China and the US. (Angel One)
  • Physical Gold Backing and Local Storage: Most Chinese gold ETFs are physically backed, holding bullion stored domestically, aligning with investor preference for direct gold price exposure rather than mining stocks. This reinforces their status as safe-haven and inflation hedge instruments.
  • Complementary Hong Kong Gold ETFs: Hong Kong-listed gold ETFs (such as Value Gold ETF, SPDR Gold Trust HK, and Hang Seng RMB Gold ETF) complement mainland China ETFs by offering multi-currency trading (HKD, RMB, USD), physical bullion storage in Hong Kong, and broad accessibility for Greater China investors. These ETFs also posted strong one-year returns around 40-43% driving regional investor participation.
  • Investor Demand Amid Global Uncertainties: Chinese investors have increased gold ETF holdings as a hedge amid US-China trade tensions, easing local bond yields, and inflationary pressures. These factors alongside central bank gold purchasing by the People's Bank of China (PBoC), which raised official reserves to around 2,299 tons by June 2025, underpin ETF growth and gold demand.
  • Gold Futures and Trading Activity: Alongside ETFs, gold futures trading volumes on the Shanghai Futures Exchange (SHFE) reached record highs in the first half of 2025, reflecting elevated market interest and speculative activity driven by gold price volatility.
  • Global Context: The surge in Chinese gold ETFs contributed significantly to global gold ETF inflows in 2025, often surpassing inflows into U.S.-listed gold ETFs, illustrating China's expanding influence in the global gold investment landscape.
In summary, the combined picture for China and gold ETFs in 2025 is one of rapid expansion and robust investor demand focused on physically backed gold ETFs, supported by geopolitical uncertainty, local economic factors, and strategic central bank gold accumulation. Hong Kong ETFs play a strategic role in the region by providing currency flexibility and convenient trading access, complementing mainland China’s dominant physical gold ETF market.

In summary, for 2025:

  • U.S. physical gold ETFs like GLDM, IAUM, SGOL, and BAR combine low costs with strong recent returns.

  • GLD remains a core, large, and liquid physical gold ETF.

  • GDX and similar mining ETFs offer leveraged exposure with higher risk/reward.

Choosing the right gold ETF depends on whether you want physical gold exposure, mining leverage, expense sensitivity, or regional preference. The above-listed ETFs represent the top performers and most watched gold ETFs in 2025 based on current data (1234).

Sources:

  1. https://www.etf.com/sections/etf-basics/best-precious-metals-etfs-performance
  2. https://www.nerdwallet.com/article/investing/best-gold-etfs
  3. https://www.angelone.in/news/best-gold-etfs-in-india-in-august-2025
  4. https://www.fortrade.com/a/blog/examples-of-gold-etfs/
  5. https://www.justetf.com/en/market-overview/the-best-etfs.html
  6. https://etfdb.com/etfs/commodity/gold/
  7. https://investingnews.com/top-asx-gold-etfs/
  8. https://www.nasdaq.com/articles/top-7-asx-gold-etfs-2025
  9. https://money.usnews.com/investing/articles/best-performing-etfs
  10. https://www.investing.com/academy/etfs/top-gold-etfs/

Disclaimer

The information presented in this article is intended for general informational purposes only and should not be construed as professional financial, investment, or medical advice. The figures, rankings, and projections are based on publicly available data, company reports, and industry estimates as of 2025. 

While efforts have been made to ensure the accuracy and timeliness of the information, One Day Advisor and the article’s authors do not guarantee the completeness, reliability, or suitability of the content for any particular purpose. Readers are encouraged to verify details independently and consult qualified professionals before making any business, investment, or healthcare decisions based on the information provided.

The article may reference ongoing developments, regulatory actions, or market events that are subject to change. One Day Advisor is not responsible for any losses or damages arising from the use of this information.


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