Gold exchange-traded funds attracted $3 billion globally in the first half of 2025, marking their strongest performance in five years as investors sought refuge from geopolitical tensions and economic uncertainty.
The influx represents a sharp turnaround from previous outflows, pushing total assets under management to a record $383 billion by June’s end — a 41% surge from the start of 2025, according to World Gold Council data released Tuesday.
“Global gold ETF flows flipped positive in June, ending H1 with the highest semi-annual inflow since H1 2020,” the industry organization reported.
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North American markets led the surge with $4.8 billion in June alone, the strongest monthly showing since March. The buying coincided with escalating Middle East tensions, particularly the Israel-Iran conflict, which historically drives safe-haven demand.
European funds added $2 billion in June after months of losses, while Asian investors contributed $610 million, reversing earlier outflow trends.
Gold prices reached new peaks above $2,300 per ounce during the period, while trading volumes hit record levels with global market liquidity averaging $329 billion daily — the highest semi-annual figure on record.
The performance underscores gold’s appeal as a portfolio hedge during market stress. Professional money managers initially reduced positions by 29% in the first half but reversed course in June with an 11% monthly increase.
“Persistent policy uncertainty and ongoing fiscal concerns are likely to remain an overhang on the market, which in turn could help support gold ETF demand in the near to medium term,” the World Gold Council stated.
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