Gold ETFs (Transactional Open Index Fund) refers to the financial derivative products based on gold and tracking the fluctuation of spot gold price. Domestic investors know little about gold ETFs, but gold ETFs are extremely popular in overseas markets.

Gold ETFs is actually a kind of gold mutual fund. Not having physical gold is another way to invest in gold.

Gold ETFs include a package of investments, but unlike other funds, they don't need to trade at the end of the trading day. On the contrary, the price of ETF is determined by the demand of investors on the trading day.

There are two main types of gold ETFs in the United States, namely SPDR Gold Trust Fund (NYSEARCA: GLD) and iShares Gold Trust Fund (NYSEARCA: IAU), both of which are the largest gold ETFs in the world, and both of them can only own one kind of assets, namely gold bars.