Two major exchange-traded funds tracking physical precious metals, the iShares Gold Trust (IAU) and the abrdn Physical Platinum Shares ETF (PPLT), have shown significant differences in their financial metrics as of early 2026.
IAU charges an annual expense ratio of 0.25%, while PPLT's expense ratio is 0.60%. The iShares fund manages approximately $68.8 billion in assets, compared to PPLT's $2.86 billion in assets under management.
Over the trailing twelve months ending January 9, 2026, PPLT delivered a total return of 135.6%. During the same period, IAU returned 67.2%.
Looking at a five-year timeframe, PPLT experienced a maximum drawdown of -35.73%, while IAU's maximum drawdown was -21.82%. An investment of $1,000 in IAU would have grown to $2,414 over five years, compared to $2,133 for PPLT.
Both funds track physical metals rather than equities or futures contracts. Neither ETF pays dividends to investors.
IAU provides exposure to physical gold, with bars stored in secure vaults. PPLT offers exposure to physical platinum, with metal stored in London vaults. The funds have different volatility characteristics, with PPLT showing a beta of 0.89 compared to IAU's beta of 0.51 relative to the S&P 500.
The performance differences occurred during what has been described as an extraordinary precious metals rally in 2025. Market observers have pointed to Federal Reserve rate cuts, inflation concerns, and substantial central bank gold purchases as factors driving the rally.
For platinum specifically, supply shortages from South Africa and increasing industrial demand from hydrogen fuel cell applications have been cited as additional catalysts. Chinese investment demand has also been mentioned as a factor in platinum's price movement.
Gold has been described as having centuries of history as a monetary asset with widespread acceptance among central banks worldwide. Platinum's market is characterized as having less stability but potentially stronger industrial demand drivers.
Both funds have been operating for multiple years, with PPLT reporting 16 years of operation. The structure of these ETFs allows investors to gain exposure to precious metals without dealing directly with physical storage or mining company stocks.