SEC Info℠

Home

Search

My Interests

Help

Sign In

Please Sign In

abrdn Precious Metals Basket ETF Trust – ‘10-Q’ for 3/31/23

On:  Monday, 5/8/23, at 6:29pm ET   ·   As of:  5/9/23   ·   For:  3/31/23   ·   Accession #:  1839882-23-12308   ·   File #:  1-34917

Previous ‘10-Q’:  ‘10-Q’ on 11/4/22 for 9/30/22   ·   Next:  ‘10-Q’ on 8/9/23 for 6/30/23   ·   Latest:  ‘10-Q’ on 11/8/23 for 9/30/23

in

this entire Filing. an “Entity” Search.

Show

Documents searched

and

each “hit”. the 1st “hit”.

↓↑Hints

 Text Wildcards:  ? (any letter/digit),  * (many).  Search Logic:  for Documents:  & (and),  | (or);  for Text:  | (anywhere),  "(&)" (near).  Details... 

  As Of               Filer                 Filing    For·On·As Docs:Size             Issuer                      Filing Agent

 5/09/23  abrdn Precious Metals Basket … Tr 10-Q        3/31/23   33:1.9M                                   Quality Edgar - QES/FA

Document/Exhibit                   Description                      Pages   Size 

 1: 10-Q        Quarterly Report                                    HTML    353K 
 2: EX-31.1     Certification -- §302 - SOA'02                      HTML     15K 
 3: EX-31.2     Certification -- §302 - SOA'02                      HTML     15K 
 4: EX-32.1     Certification -- §906 - SOA'02                      HTML     12K 
 5: EX-32.2     Certification -- §906 - SOA'02                      HTML     12K 
11: R1          Cover                                               HTML     65K 
12: R2          Statements of Assets and Liabilities (Unaudited)    HTML     50K 
13: R3          Statements of Assets and Liabilities (Unaudited)    HTML     35K 
                (Parenthetical)                                                  
14: R4          Schedules of Investments (Unaudited)                HTML     54K 
15: R5          Statements of Operations (Unaudited)                HTML     47K 
16: R6          Statements of Changes in Net Assets (Unaudited)     HTML     36K 
17: R7          Financial Highlights (Unaudited)                    HTML     32K 
18: R8          Organization                                        HTML     19K 
19: R9          Significant Accounting Policies                     HTML    111K 
20: R10         Related Parties                                     HTML     18K 
21: R11         Concentration of Risk                               HTML     15K 
22: R12         Indemnification                                     HTML     15K 
23: R13         Significant Accounting Policies (Policies)          HTML    125K 
24: R14         Significant Accounting Policies (Tables)            HTML     85K 
25: R15         Organization (Details Narrative)                    HTML     19K 
26: R16         The categorization of the Trust?s assets is as      HTML     16K 
                shown below (Details)                                            
27: R17         Changes in ounces of Bullion and their respective   HTML     54K 
                values for the three months ended March 31, 2023                 
                and 2022 are set out below (Details)                             
28: R18         Significant Accounting Policies (Details            HTML     37K 
                Narrative)                                                       
31: XML         IDEA XML File -- Filing Summary                      XML     48K 
29: XML         XBRL Instance -- gltr-10q_033123_htm                 XML    450K 
30: EXCEL       IDEA Workbook of Financial Reports                  XLSX     50K 
 7: EX-101.CAL  XBRL Calculations -- gltr-20230331_cal               XML     42K 
 8: EX-101.DEF  XBRL Definitions -- gltr-20230331_def                XML    132K 
 9: EX-101.LAB  XBRL Labels -- gltr-20230331_lab                     XML    317K 
10: EX-101.PRE  XBRL Presentations -- gltr-20230331_pre              XML    246K 
 6: EX-101.SCH  XBRL Schema -- gltr-20230331                         XSD     58K 
32: JSON        XBRL Instance as JSON Data -- MetaLinks              130±   183K 
33: ZIP         XBRL Zipped Folder -- 0001839882-23-012308-xbrl      Zip     93K 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form  i 10-Q

or

Commission File Number:  i 001-34917 

 i abrdn Precious Metals Basket ETF Trust

(Exact name of registrant as specified in its charter)

 i (844)  i 383-7289

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  i Yes ☒   No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).  i Yes ☒   No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer”, “accelerated filer”, “smaller reporting company”, and “emerging growth company” in Rule 12b-2 of the Exchange Act.

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act.). ☐ Yes    ☒  i No

As of May 4, 2023, abrdn Precious Metals Basket ETF Trust had  i 11,250,000 abrdn Physical Precious Metals Basket Shares ETF outstanding.

abrdn Precious Metals Basket ETF Trust

FORM 10-Q

FOR THE QUARTER ENDED MARCH 31, 2023

INDEX

abrdn Precious Metals Basket ETF Trust

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements

Statements of Assets and Liabilities

At March 31, 2023 (Unaudited) and December 31, 2022

See Notes to the Financial Statements

abrdn Precious Metals Basket ETF Trust

Schedules of Investments

At March 31, 2023 (Unaudited) and December 31, 2022

See Notes to the Financial Statements

abrdn Precious Metals Basket ETF Trust

Statements of Operations (Unaudited)

For the three months ended March 31, 2023 and 2022

See Notes to the Financial Statements

abrdn Precious Metals Basket ETF Trust

Statements of Changes in Net Assets (Unaudited)

For the three months ended March 31, 2023 and 2022

See Notes to the Financial Statements

abrdn Precious Metals Basket ETF Trust

Financial Highlights (Unaudited)

For the three months ended March 31, 2023 and 2022

See Notes to the Financial Statements

abrdn Precious Metals Basket ETF Trust

Notes to the Financial Statements (Unaudited) 

abrdn Precious Metals Basket ETF Trust

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations 

This information should be read in conjunction with the financial statements and notes to the financial statements included in Item 1 of Part 1 of this Form 10-Q. The discussion and analysis that follows may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and within the Private Securities Litigation Reform Act of 1995, as amended. These forward-looking statements may relate to the Trust’s financial condition, operations, future performance and business. These statements can be identified by the use of the words “may”, “should”, “expect”, “plan”, “anticipate”, “believe”, “estimate”, “predict”, “potential” or similar words and phrases. These statements are based upon certain assumptions and analyses the Sponsor has made based on its perception of historical trends, current conditions and expected future developments. Neither the Trust nor the Sponsor is under a duty to update any of the forward-looking statements, to conform such statements to actual results or to reflect a change in management’s expectations or predictions.

Introduction 

The Trust is a common law trust, formed under the laws of the state of New York on October 18, 2010. The Trust is not managed like a corporation or an active investment vehicle. It does not have any officers, directors, or employees and is administered by the Trustee pursuant to the Trust Agreement. The Trust is not registered as an investment company under the Investment Company Act of 1940 and is not required to register under such act. It does not hold or trade in commodity futures contracts, nor is it a commodity pool, or subject to regulation as a commodity pool operator or a commodity trading adviser in connection with issuing Shares.

The Trust holds Bullion (consisting of gold, silver, platinum, palladium in specified proportions) and is expected to issue Baskets in exchange for deposits of Bullion and to distribute Bullion in connection with redemptions of Baskets. Shares issued by the Trust represent units of undivided beneficial interest in and ownership of the Trust. The investment objective of the Trust is for the Shares to reflect the performance of the price of gold, silver, platinum and palladium in the proportions held by the Trust, less the Trust’s expenses. The Trust holds Bullion in a ratio such that for every 0.03 ounces of gold it holds 1.1 ounces of silver, 0.004 ounces of platinum and 0.006 ounces of palladium.  The Sponsor believes that, for many investors, the Shares will represent a cost effective investment relative to traditional means of investing in Bullion.

The Trust issues and redeems Shares only with Authorized Participants in exchange for Bullion and only in aggregations of 50,000 Shares or integral multiples thereof. A list of current Authorized Participants is available from the Sponsor or the Trustee.

Shares of the Trust trade on the New York Stock Exchange (the “NYSE”) Arca under the symbol “GLTR”.

Valuation of Bullion and Computation of Net Asset Value 

On each day that the NYSE Arca is open for regular trading, as promptly as practicable after 4:00 p.m. New York time on such day (the “Evaluation Time”), the Trustee will evaluate the Bullion held by the Trust and determine both the ANAV and the NAV of the Trust.

At the Evaluation Time, the Trustee values the Trust’s Bullion on the basis of that day’s London Metal Price for such metal or, if no London Metal Price is made for a metal on such day or has not been announced by the Evaluation Time, the next most recent London Metal Price announced for such metal determined prior to the Evaluation Time will be used, unless the Sponsor determines that such price is inappropriate as a basis for evaluation. In the event the Sponsor determines that the applicable London Metal Price or such other publicly available price as the Sponsor may deem fairly represents the commercial value of the Trust’s Bullion is not an appropriate basis for evaluation of the Trust’s Bullion, it shall identify an alternative basis for such evaluation to be employed by the Trustee. Neither the Trustee nor the Sponsor shall be liable to any person for the determination that the London Metal Price or such other publicly available price is not appropriate as a basis for evaluation of the Trust’s Bullion or for any determination as to the alternative basis for such evaluation provided that such determination is made in good faith.

Once the value of the Bullion has been determined, the Trustee subtracts all estimated accrued but unpaid fees (other than the fees accruing for such day on which the valuation takes place that are computed by reference to the value of the Trust or its assets), expenses and other liabilities of the Trust from the total value of the Bullion and all other assets of the Trust (other than any amounts credited to the Trust’s reserve account, if established). The resulting figure is the adjusted net asset value (the “ANAV”) of the Trust. The ANAV of the Trust is used to compute the Sponsor’s Fee.

All fees accruing for the day on which the valuation takes place that are computed by reference to the value of the Trust or its assets are calculated using the ANAV calculated for such day. The Trustee subtracts from the ANAV the amount of accrued fees so computed for such day and the resulting figure is the NAV of the Trust. The Trustee also determines the NAV per Share by dividing the NAV of the Trust by the number of the Shares outstanding as of the close of trading on the NYSE Arca (which includes the net number of any Shares created or redeemed on such evaluation day).

The Trustee’s estimation of accrued but unpaid fees, expenses and liabilities is conclusive upon all persons interested in the Trust and no revision or correction in any computation made under the Trust Agreement will be required by reason of any difference in amounts estimated from those actually paid.

The NAV of the Trust is obtained by subtracting the Trust’s liabilities on any day from the value of the Bullion owned and receivable by the Trust on that day; the NAV per Share is obtained by dividing the NAV of the Trust on a given day by the number of Shares outstanding on that day.

The Quarter Ended March 31, 2023

The Trust’s NAV increased from $1,007,501,383 at December 31, 2022 to $1,014,772,272 at March 31, 2023, a 0.72% increase for the quarter. The change in the Trust’s NAV resulted from an increase in the price per ounce of gold, silver, platinum and palladium in the proportions held by the Trust (the “Proportionate Price”), which rose 2.96% from $95.70 at December 31, 2022 to $98.53 at March 31, 2023 and a decrease in outstanding Shares, which fell from 11,350,000 Shares at December 31, 2022 to 11,100,000 Shares at March 31, 2023, as a result of 100,000 Shares (2 Baskets) being created and 350,000 Shares (7 Baskets) being redeemed.

The NAV per Share increased 2.99% from $88.77 at December 31, 2022 to $91.42 at March 31, 2023. The increase in the Trust’s NAV was net of the Sponsor’s Fee, which was $1,495,232 for the quarter, or 0.60% of the Trust’s ANAV on an annualized basis.

The NAV per Share of $92.12 at January 18, 2023 was the highest during the quarter, compared with a low of $82.45 at March 8, 2023.

The increase in net assets from operations for the quarter ended March 31, 2023 was $28,958,218, resulting from a realized gain of $132,586 on the transfer of Bullion to pay expenses, a realized gain of $2,606,653 on Bullion distributed for the redemption of Shares, an increase in unrealized gain on investment in Bullion of $27,714,211, offset by the Sponsor’s Fee of $1,495,232. Other than the Sponsor’s Fee, the Trust had no expenses during the quarter ended March 31, 2023.

The Quarter Ended March 31, 2022

The Trust’s NAV increased from $970,513,038 at December 31, 2021 to $1,163,906,466 at March 31, 2022, a 19.93% increase for the quarter. The increase in the Trust’s NAV resulted from an increase in the price per ounce of gold, silver, platinum and palladium in the proportions held by the Trust (the “Proportionate Price”), which rose 8.20% from $95.24 at December 31, 2021 to $103.05 at March 31, 2022. There was an increase in outstanding Shares, which rose from 10,900,000 Shares at December 31, 2021 to 12,100,000 Shares at March 31, 2022, as a result of 1,250,000 Shares (25 Baskets) being created and 50,000 Shares (1 Basket) being redeemed.

The NAV per Share increased 8.03% from $89.04 at December 31, 2021 to $96.19 at March 31, 2022. The Trust’s NAV per Share rose slightly less than Proportionate Price on a percentage basis due to the Sponsor’s Fee, which was $1,540,106 for the quarter, or 0.60% of the Trust’s ANAV on an annualized basis.

The NAV per Share of $105.06 at March 8, 2022 was the highest during the quarter, compared with a low of $87.07 at January 6, 2022.

The increase in net assets from operations for the quarter ended March 31, 2022 was $74,396,842, resulting from a realized gain of $194,469 on the transfer of Bullion to pay expenses, a realized gain of $539,953 on Bullion distributed for the redemption of Shares and a change in unrealized gain on investment in Bullion of $75,202,526, offset by the Sponsor’s Fee of $1,540,106.Other than the Sponsor’s Fee, the Trust had no expenses during the quarter ended March 31, 2022.

Liquidity & Capital Resources 

The Trust is not aware of any trends, demands, commitments, events or uncertainties that are reasonably likely to result in material changes to its liquidity needs. In exchange for the Sponsor’s Fee, the Sponsor has agreed to assume most of the expenses incurred by the Trust. As a result, the only ordinary expense of the Trust during the period covered by this report was the Sponsor’s Fee.

The Trustee will, at the direction of the Sponsor or in its own discretion, sell the Trust’s Bullion, only in the specified proportion of gold, silver, platinum and palladium held by the Trust, as necessary to pay the Trust’s expenses not otherwise assumed by the Sponsor. The Trustee will not sell Bullion to pay the Sponsor’s Fee but will pay the Sponsor’s Fee through in-kind transfers of Bullion to the Sponsor. At March 31, 2023, the Trust did not have any cash balances.

Off-Balance Sheet Arrangements  

The Trust has no off-balance sheet arrangements.

Critical Accounting Policies 

The financial statements and accompanying notes are prepared in accordance with accounting principles generally accepted in the United States of America. The preparation of these financial statements relies on estimates and assumptions that impact the Trust’s financial position and results of operations. These estimates and assumptions affect the Trust’s application of accounting policies. Refer to Note 2 to the Financial Statements for further information on accounting policies.

Item 3. Quantitative and Qualitative Disclosures About Market Risk 

Not applicable.

Item 4. Controls and Procedures 

The Trust maintains disclosure controls and procedures that are designed to ensure that information required to be disclosed in its reports under the Securities Exchange Act of 1934, as amended (the “Exchange Act”) is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to the Chief Executive Officer and Chief Financial Officer of the Sponsor, and to the audit committee, as appropriate, to allow timely decisions regarding required disclosure.

Under the supervision and with the participation of the Chief Executive Officer and the Chief Financial Officer of the Sponsor, the Sponsor conducted an evaluation of the Trust’s disclosure controls and procedures, as defined under Exchange Act Rules 13a-15(e) and 15d-15(e). Based on this evaluation, the Chief Executive Officer and the Chief Financial Officer of the Sponsor concluded that, as of March 31, 2023, the Trust’s disclosure controls and procedures were effective.

There have been no changes in the Trust’s or Sponsor’s internal control over financial reporting during the quarter ended March 31, 2023 that have materially affected, or are reasonably likely to materially affect, the Trust’s or Sponsor’s internal control over financial reporting.

PART II. OTHER INFORMATION

Item 1. Legal Proceedings 

None.

Item 1A. Risk Factors  

There have been no material changes to the risk factors previously disclosed in the Trust's Annual Report on Form 10-K for the fiscal year ended December 31, 2022.

General Risks 

Armed conflict can result in significant disruptions to the commodities markets and could adversely affect the price of the Shares.

On February 24, 2022, Russia commenced an invasion of Ukraine. In response to such conflict or for other reasons, governments have imposed and may impose additional economic sanctions against Russia, certain other countries, entities and/or individuals. Economic sanctions and other similar governmental actions could, among other things, prevent or prohibit certain entities or individuals from participating in the bullion and commodities markets or otherwise impact the functioning of those markets. Such actions could affect the value of Bullion held by the Fund. Sanctions could also result in countermeasures or retaliatory actions, which may impact the value of Bullion. Although it is not possible to predict the impact that any sanctions and retaliatory actions may have on the Fund, such events could significantly harm the value of the Fund’s shares.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 

Item 2(a). None. 

Item 2(b). Not applicable. 

Item 2(c). For the three months ended March 31, 2023:

2 Baskets was created. 

7 Baskets were redeemed.

Item 3. Defaults Upon Senior Securities 

None.

Item 4. Mine Safety Disclosures 

Not applicable.

Item 5. Other Information 

None.

Item 6. Exhibits

abrdn Precious Metals Basket ETF Trust

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned in the capacities thereunto duly authorized.

---

Dates Referenced Herein   and   Documents Incorporated by Reference

This ‘10-Q’ Filing		Date		Other Filings
Filed as of:		5/9/23
Filed on:		5/8/23
		5/4/23
For Period end:		3/31/23		424I
		3/8/23
		2/28/23
		1/18/23
		1/1/23
		12/31/22		10-K
		3/31/22		10-Q
		3/8/22		424B3
		2/24/22
		1/6/22
		1/1/22
		12/31/21		10-K,  10-K/A
		10/18/10		8-A12B,  S-1/A
				List all Filings

↑Top

---

Filing Submission 0001839882-23-012308   –   Alternative Formats (Word / Rich Text, HTML, Plain Text, et al.)

---

---

Copyright © 2024 Fran Finnegan & Company LLC – All Rights Reserved.
About — Privacy — Redactions — Help — Thu., Apr. 25, 1:07:49.1am ET