What changed in this filing

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Item 1. Financial Statements

2021-11-03 compared with 2021-08-06 · 139 added, 71 removed, 253 unchanged (45% of the section changed)

Financial Statements

iShares ©

iShares ®

Gold Trust Micro

Statements of Assets and Liabilities (Unaudited)

At June 30, 2021 and June 15, 2021 (Date of Inception)

At September 30, 2021 and June 15, 2021 (Date of Inception)

September 30,

Investment in gold bullion, at fair value (a)

3 unchanged sentences

9,325,500  

Sponsor's fees payable

Sponsor’s fees payable

34,807  

Total Liabilities

34,807  

Commitments and contingent liabilities (Note 6)

11 unchanged sentences

See notes to financial statements.

iShares ©

iShares ®

Gold Trust Micro

Statement of Operations (Unaudited)

For the period from June 15, 2021 (Date of Inception) to June 30, 2021

Statements of Operations (Unaudited)

For the three months ended September 30, 2021 and the period from June 15, 2021 (Date of Inception) to September 30, 2021

September 30,

June 15, 2021

(Date of Inception)

to June 30, 2021

to September 30,

Sponsor’s fees

3 unchanged sentences

Net Realized and Unrealized Gain (Loss)

Net realized gain (loss) from:

Gold bullion sold to pay expenses

Net change in unrealized appreciation/depreciation

3 unchanged sentences

See notes to financial statements.

iShares ©

iShares ®

Gold Trust Micro

Statement of Changes in Net Assets (Unaudited)

For the period from June 15, 2021 (Date of Inception) to June 30, 2021

Statements of Changes in Net Assets (Unaudited)

For the three months ended September 30, 2021 and the period from June 15, 2021 (Date of Inception) to September 30, 2021

June 15, 2021

(Date of Inception)

to June 30, 2021

to September 30, 2021

Net Assets at June 15, 2021

2 unchanged sentences

Net decrease in net assets resulting from operations

Decrease in net assets

Net Assets at June 30, 2021

Net investment loss

Net realized gain

Net change in unrealized appreciation/depreciation

Net decrease in net assets resulting from operations

Capital Share Transactions:

Contributions for Shares issued

Distributions for Shares redeemed

Net increase in net assets from capital share transactions

Increase in net assets

Net Assets at June 30, 2021

Net Assets at September 30, 2021

Shares issued and redeemed

Shares issued

Shares redeemed

Net increase in Shares issued and outstanding

See notes to financial statements.

iShares ©

iShares ®

Gold Trust Micro

Statement of Cash Flows (Unaudited)

For the period from June 15, 2021 (Date of Inception) to June 30, 2021

For the period from June 15, 2021 (Date of Inception) to September 30, 2021

June 15, 2021

(Date of Inception)

to June 30, 2021

to September 30, 2021

Cash Flows from Operating Activities

Proceeds from gold bullion sold to pay expenses

$ 59,228  

Expenses –

6 unchanged sentences

Net decrease in net assets resulting from operations

$ ( 19,206,416 )

Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by (used in) operating activities:

Proceeds from gold bullion sold to pay expenses

59,228  

Net realized (gain) loss

Net change in unrealized appreciation/depreciation

19,112,803  

Change in operating assets and liabilities:

Sponsor’s fees payable

34,807  

Net cash provided by (used in) operating activities

1 unchanged sentence

Gold bullion contributed for Shares issued

Gold bullion distributed for Shares redeemed

$ 617,106,346  

See notes to financial statements.

iShares ©

iShares ®

Gold Trust Micro

Schedules of Investments (Unaudited)

At June 30, 2021 and June 15, 2021 ( Date of Inception)

June 30, 2021

At September 30, 2021 and June 15, 2021 ( Date of Inception)

September 30, 2021

348,439  

$ 626,373,040  

Total Investments –

$ 607,260,237  

Less Liabilities –

Net Assets –

Total Investments –

607,260,237  

Less Liabilities –

Net Assets –

$ 607,225,430  

June 15, 2021 ( Date of Inception)

1 unchanged sentence

$ 9,325,500  

Total Investments –

Total Investments –

9,325,500  

Less Liabilities –

Net Assets –

Less Liabilities –

Net Assets –

$ 9,325,500  

See notes to financial statements.

iShares ©

iShares ®

Gold Trust Micro

Notes to Financial Statements (Unaudited)

June 30, 2021

September 30, 2021

The iShares Gold Trust Micro (the “Trust”) was organized on June 15, 2021 as a New York trust.

3 unchanged sentences

The Trust issues units of beneficial interest (“Shares”) representing fractional undivided beneficial interests in its net assets.

BlackRock Financial Management, Inc.

(the “Seed Capital Investor”) contributed 5,000 ounces of Gold in exchange for 500,000 shares (the “Seed Creation Baskets”) on June 15, 2021 for the benefit of BlackRock Financial Management, Inc.

BlackRock Financial Management, Inc. (the “Seed Capital Investor”), contributed 5,000 ounces of Gold in exchange for 500,000 shares (the “Seed Creation Baskets”) on June 15, 2021 for the benefit of BlackRock Financial Management, Inc.

At contribution, the value of the gold deposited with the Trust was based on the price of an ounce of gold of $ 1,865.10 .

26 unchanged sentences

Gain or loss on sales of gold bullion is calculated on a trade date basis using the average cost method.

The following table summarizes activity in gold bullion during the period from June 15, 2021 ( Date of Inception) to June 30, 2021:

Period Ended June 30, 2021

The following tables summarize activity in gold bullion for the three months ended September 30, 2021 and the period from 

June 15, 2021 ( Date of Inception) to September 30, 2021:

Three Months Ended September 30, 2021

Beginning balance

2 unchanged sentences

Gold bullion contributed

343,472  

617,106,346  

Gold bullion distributed

Gold bullion sold to pay expenses

( 33 )  

( 58,806 )  

( 59,228 )  

Net realized gain

4 unchanged sentences

$ 626,373,040  

$ 607,260,237  

Period from June 15, 2021 (Date of Inception) to September 30, 2021

Beginning balance

$ 9,325,500  

$  —

Gold bullion contributed

343,472  

617,106,346  

Gold bullion distributed

Gold bullion sold to pay expenses

( 33 )  

( 58,806 )  

( 59,228 )  

Net realized gain

Net change in unrealized appreciation/depreciation

( 19,112,803 )  

Ending balance

348,439  

$ 626,373,040  

$ 607,260,237  

Calculation of Net Asset Value

On each day other than:

a Saturday or a Sunday, or a day on which NYSE Arca is closed for regular trading (“Business Day”) as soon as practicable after 4:00 p.m.

On each business day, as soon as practicable after 4:00 p.m.

(New York time), the net asset value of the Trust is obtained by subtracting all accrued fees, expenses and other liabilities of the Trust from the fair value of the gold and other assets held by the Trust.

12 unchanged sentences

Any interest, expenses, gains and losses are passed through to the holders of Shares of the Trust.

The Sponsor has analyzed applicable tax laws and regulations and their application to the Trust as of June 30, 2021 and does not believe that there are any uncertain tax positions that require recognition of a tax liability.

The Sponsor has analyzed applicable tax laws and regulations and their application to the Trust as of September 30, 2021 and does not believe that there are any uncertain tax positions that require recognition of a tax liability.

Trust Expenses

The Trust pays to the Sponsor a Sponsor’s fee that accrues daily at an annualized rate equal to 0.15 % of the net asset value of the Trust, paid monthly in arrears.

Effective June 29, 2021, the Sponsor has voluntarily agreed to waive a portion of the Sponsor's Fee so that the Sponsor's Fee after the fee waiver will not exceed 0.07 % through June 30, 2024.

Effective June 29, 2021, the Sponsor has voluntarily agreed to waive a portion of the Sponsor’s Fee so that the Sponsor’s Fee after the fee waiver will not exceed 0.07 % through June 30, 2024.

Although the Sponsor has no current intention of doing so, because the fee waiver is voluntary, the Sponsor may revert to the 0.15 % fee prior to June 30, 2024.

Should the Sponsor choose to revert to the the 0.15 % fee (or an amount higher than 0.07 % but no greater than 0.15 % annualized), prior to June 30, 2024, it will provide shareholders with at least 30 days’

Should the Sponsor choose to revert to the 0.15 % fee (or an amount higher than 0.07 % but no greater than 0.15 % annualized), prior to June 30, 2024, it will provide shareholders with at least 30 days’

prior written notice of such change through either a prospectus supplement to its registration statement or through a report furnished on Form 8 -K.

The Sponsor has agreed to assume the following marketing and administrative expenses incurred by the Trust:

the Trustee’s fee and reimbursement for its reasonable out-of-pocket expenses, the Custodian’s fee, NYSE Arca listing fees, SEC registration fees, printing and mailing costs, audit fees and expenses, and up to $ 100,000 per annum in legal fees and expenses.

The amount waived is included in Sponsor's fees waived in the Statement of Operations.

For the period ended June 30, 2021, the amount waived was $ 39 .

The Sponsor has agreed to assume the following administrative and marketing expenses incurred by the Trust:

the Trustee’s fee and reimbursement for its reasonable out-of-pocket expenses, the Custodian’s fee, NYSE Arca listing fees, SEC registration fees, printing and mailing costs, audit fees and expenses, and up to $ 100,000 per annum in legal fees and expenses.

The amount waived is included in Sponsor’s fees waived in the Statement of Operations.

For the quarter ended September 30, 2021, the amount waived was $ 107,095 .

Related Parties

1 unchanged sentence

The Trustee’s fee is paid by the Sponsor and is not a separate expense of the Trust.

As of June 30, 2021 BlackRock Financial Management, Inc., an affiliate of the Sponsor, owned 500,000 Shares of the Trust.

As of September 30, 2021 BlackRock Financial Management, Inc., an affiliate of the Sponsor, owned 500,000 Shares of the Trust.

Indemnification

The Trust Agreement provides that the Trustee shall indemnify the Sponsor, its directors, officers, employees and agents against, and hold each of them harmless from, any loss, liability, cost, expense or judgment (including reasonable fees and expenses of counsel) (i) caused by the negligence or bad faith of the Trustee or (ii) arising out of any information furnished in writing to the Sponsor by the Trustee expressly for use in the registration statement, or any amendment thereto or periodic or other report filed with the SEC relating to the Shares that is not materially altered by the Sponsor.

The Trust Agreement provides that the Sponsor and its members, managers, directors, officers, employees, affiliates (as such term is defined under the Securities Act of 1933, as amended) and subsidiaries shall be indemnified from the Trust and held harmless against any loss, liability or expense incurred without their ( 1 ) negligence, bad faith, willful misconduct or willful malfeasance arising out of or in connection with the performance of their obligations under the Trust Agreement or any actions taken in accordance with the provisions of the Trust Agreement or ( 2 ) reckless disregard of their obligations and duties under the Trust Agreement.

The Trust Agreement provides that the Sponsor and its shareholders, directors, officers, employees, affiliates (as such term is defined under the Securities Act of 1933, as amended) and subsidiaries shall be indemnified from the Trust and held harmless against any loss, liability or expense incurred without their ( 1 ) negligence, bad faith, willful misconduct or willful malfeasance arising out of or in connection with the performance of their obligations under the Trust Agreement or any actions taken in accordance with the provisions of the Trust Agreement or ( 2 ) reckless disregard of their obligations and duties under the Trust Agreement.

The Trust has agreed that the Custodian will only be responsible for any loss or damage suffered by the Trust as a direct result of the Custodian’s negligence, fraud or willful default in the performance of its duties.

5 unchanged sentences

Accordingly, a decline in the price of gold will have an adverse effect on the value of the Shares of the Trust.

Factors that may have the effect of causing a decline in the price of gold include large sales by the official sector (governments, central banks, and related institutions) a significant increase in the hedging activities of gold producers;

Factors that may have the effect of causing a decline in the price of gold include large sales by the official sector (governments, central banks, and related institutions);

a significant increase in the hedging activities of gold producers;

significant changes in the attitude of speculators, investors and other market participants towards gold;

8 unchanged sentences

Financial Highlights

The following financial highlights relate to investment performance and operations for a Share outstanding for the period from June 15, 2021 ( Date of Inception) to June 30, 2021.

The following financial highlights relate to investment performance and operations for a Share outstanding for the three months ended September 30, 2021 and the period from June 15, 2021 ( Date of Inception) to September 30, 2021.

Three Months Ended

September 30, 2021

June 15, 2021

(Date of Inception)

to June 30, 2021

to September 30, 2021

Net asset value per Share, beginning of period

$ 17.63  

$ 18.65  

Net investment loss (a)

( 0.00 ) (b)  

Net realized and unrealized gain (loss) (c)

Net increase (decrease) in net assets from operations

( 0.21 )  

Net decrease in net assets from operations

( 0.21 )  

Net asset value per Share, end of period

Total return, at net asset value (d)(f)

$ 17.42  

Total return, at net asset value (d)(e)

( 1.19 )%  

Ratio to average net assets:

Net investment loss (e)

Total expenses (e)

Total expenses after fees waived (e)

Net investment loss (f)

( 0.07 )%  

Total Expenses (f)

0.15 %  

Total expenses after fees waived (f)  

0.07 %  

Based on average Shares outstanding during the period.

Amount is greater than $( 0.005 ).

(b) Amount is greater than $( 0.005 ) per share

The amounts reported for a Share outstanding may not accord with the change in aggregate gains and losses on investment for the period due to the timing of Trust Share transactions in relation to the fluctuating fair values of the Trust’s underlying investment.

Based on the change in net asset value of a Share during the period.

Percentage is annualized.

Percentage is not annualized.

Percentage is annualized.

Investment Valuation

6 unchanged sentences

The three levels of the fair value hierarchy are as follows:

Level 1  − 

Level 1  

Unadjusted quoted prices in active markets for identical assets or liabilities;

Level 2  − 

Level 2  

Inputs other than quoted prices included within Level 1 that are observable for the asset or liability either directly or indirectly, including quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not considered to be active, inputs other than quoted prices that are observable for the asset or liability, and inputs that are derived principally from or corroborated by observable market data by correlation or other means;

Level 3  − 

Level 3  

Unobservable inputs that are unobservable for the asset or liability, including the Trust’s assumptions used in determining the fair value of investments.

At June 30, 2021, the value of the gold bullion held by the Trust is categorized as Level 1.

At September 30, 2021, the value of the gold bullion held by the Trust is categorized as Level 1.

Management ’

2 unchanged sentences

The discussion and analysis that follows may contain statements that relate to future events or future performance.

In some cases, such forward‑looking statements can be identified by terminology such as “

In some cases, such forward-looking statements can be identified by terminology such as “

may, ”

18 unchanged sentences

The iShares Gold Trust Micro (the “Trust”) is a grantor trust formed under the laws of the State of New York.

The Trust does not have any officers, directors, or employees, and is administered by The Bank of New York Mellon (the “Trustee”) acting as trustee pursuant to the Depositary Trust Agreement (the “Trust Agreement”) between the Trustee and iShares Delaware Trust Sponsor LLC, the sponsor of the Trust (the “Sponsor”).

The Trust does not have any officers, directors, or employees, and is administered by The Bank of New York Mellon (the “Trustee”) acting as trustee pursuant to the Depositary Trust Agreement (the “Trust Agreement”) between the Trustee and iShares Delaware Trust Sponsor LLC, the sponsor of the Trust (the “Sponsor”).

The Trust issues units of beneficial interest (“Shares”) representing fractional undivided beneficial interests in its net assets.

3 unchanged sentences

The Trust does not engage in any activities designed to obtain a profit from, or ameliorate losses caused by, changes in the price of gold.

The Trust issues and redeems Shares only in exchange for gold, only in aggregations of 50,000 Shares (a "Basket") or integral multiples thereof, and only in transactions with registered broker-dealers that have previously entered into an agreement with the Sponsor and the Trustee governing the terms and conditions of such issuance (such broker-dealers, the “Authorized Participants”).

The Trust issues and redeems Shares only in exchange for gold, only in aggregations of 50,000 Shares (a “Basket”) or integral multiples thereof, and only in transactions with registered broker-dealers that have previously entered into an agreement with the Sponsor and the Trustee governing the terms and conditions of such issuance (such broker-dealers, the “Authorized Participants”).

A list of the current Authorized Participants is available from the Sponsor or the Trustee.

12 unchanged sentences

The use of indicators of the value of gold bullion other than the LBMA Gold Price AM and LBMA Gold Price PM could result in materially different fair value pricing of the gold held by the Trust, and as such, could result in different cost or market adjustments or in different redemption value adjustments of the outstanding redeemable capital Shares.

Having valued the gold held by the Trust, the Trustee then subtracts all accrued fees, expenses and other liabilities of the Trust from the total value of the gold and other assets held by the Trust.

Having valued the gold held by the Trust, the Trustee then subtracts all accrued fees, expenses and other liabilities of the Trust from the total value of the gold held by the Trust and other assets held by the Trust.

The result is the net asset value of the Trust.

8 unchanged sentences

These estimates and assumptions affect the Trust’s application of accounting policies.

Below is a description of the valuation of gold bullion, a critical accounting policy that the Trust believes is important to understanding its results of operations and financial position, is provided in the section entitled "Valuation of Gold Bullion;

Computation of Net Asset Value" above.

Computation of Net Asset Value”

In addition, please refer to Note 2 to the financial statements included in this report for further discussion of the Trust’s accounting policies.

Results of Operations

The Period from June 15, 2021 (Date of Inception) to June 30, 2021

The Trust's net asset value decreased from $9,325,500 at June 15, 2021 (Date of Inception) to $8,815,237 at June 30, 2021 a 5.47% decrease.

The decrease in the Trust's net asset value resulted primarily from a decrease in the price of gold, which fell 5.47% from $1,865.10 (LBMA Gold Price PM) at June 15, 2021 (Date of Inception) to $1,763.15 (LBMA Gold Price PM) at June 30, 2021.

The 5.47% decrease in the Trust's NAV from $18.65 at June 15, 2021 (Date of Inception) to $17.63 at June 30, 2021 is directly related to the 5.47% decrease in the price of gold.

The NAV decreased more than the price of gold on a percentage basis due to the Sponsor’s fees, which were $513 for the period, or 0.01% of the Trust’s average weighted assets of $8,940,117 during the period, The NAV of $18.65 on June 15, 2021 was the highest during the period, compared with a low during the quarter of $17.55 on June 29, 2021.

Net decrease in net assets resulting from operations for the period from June 15, 2021 (Date of Inception) to June 30, 2021 was $510,263, resulting from an unrealized loss on investment in gold bullion of $509,750 and a net investment loss of $513.

Other than the Sponsor's fees of $513, the Trust had no expenses during the period.

The Quarter Ended September 30, 2021

The Trust’s net asset value increased from $8,815,237 at June 30, 2021 to $607,225,430 at September 30, 2021, a 6,788.36% increase.

The increase in the Trust’s net asset value resulted primarily from an increase in the number of outstanding shares, which rose from 500,000 Shares at June 30, 2021 to 34,850,000 Shares at September 30, 2021, a consequence of 34,350,000 Shares (687 Baskets) being created during the quarter.

The increase in the Trust’s net asset value was partially offset by a decrease in the LMBA Gold Price, which fell 1.15% from $1,763.15 at June 30, 2021 to $1,742.80 at September 30, 2021.

The 1.19% decrease in the NAV from $17.63 at June 30, 2021 to $17.42 at September 30, 2021 is directly related to the 1.15% decrease in the price of gold.

The NAV decreased slightly more than the price of gold on a percentage basis due to the Sponsor’s fees, which were $93,522 for the quarter, or 0.02% of the Trust’s average weighted assets of $537,613,742 during the quarter.

The NAV of $18.29 on July 29, 2021 was the highest during the quarter, compared with a low during the quarter of $17.23 on August 10, 2021.

Net decrease in net assets resulting from operations for the quarter ended September 30, 2021 was $18,696,153, resulting from an unrealized loss on investment in gold bullion of $18,603,053, a net realized gain of $422 from gold bullion sold to pay expenses during the quarter, and a net investment loss of $93,522.

Other than the Sponsor’s fees of $93,522, the Trust had no expenses during the quarter.

The Period from June 15, 2021 (Date of Inception) to September 30, 2021

The Trust’s net asset value increased from $9,325,500 at June 15, 2021 (Date of Inception) to $607,225,430 at September 30, 2021, a 6,411.45% increase.

The increase in the Trust’s net asset value resulted primarily from an increase in the number of outstanding shares, which rose from 500,000 Shares at June 15, 2021 (Date of Inception) to 34,850,000 Shares at September 30, 2021, a consequence of 34,350,000 Shares (687 Baskets) being created during the period.

The increase in the Trust’s net asset value was partially offset by a decrease in the LMBA Gold Price, which fell 6.56% from $1,865.10 at June 15, 2021 (Date of Inception) to $1,742.80 at September 30, 2021.

The 6.60% decrease in the NAV from $18.65 at June 15, 2021 (Date of Inception) to $17.42 at September 30, 2021 is directly related to the 6.56% decrease in the price of gold.

The NAV decreased slightly more than the price of gold on a percentage basis due to the Sponsor’s fees, which were $94,035 for the period, or 0.02% of the Trust’s average weighted assets of $459,291,726 during the period.

The NAV of $18.65 on June 15, 2021 was the highest during the period, compared with a low during the period of $17.23 on August 10, 2021.

Net decrease in net assets resulting from operations for the period ended September 30, 2021 was $19,206,416, resulting from an unrealized loss on investment in gold bullion of $19,112,803, a net realized gain of $422 from gold bullion sold to pay expenses during the quarter, and a net investment loss of $94,035.

Other than the Sponsor’s fees of $94,035, the Trust had no expenses during the period.

Quantitative and Qualitative Disclosures About Market Risk.

1 unchanged sentence

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements