South Korea's central bank purchased $250.4 million in the SPDR Gold Trust ETF in the second quarter, marking its first gold investment since 2013, according to an SEC filing disclosed August 13.
Central banks globally have accelerated precious metals purchases. The Fed's holdings of gold have remained flat at roughly 261 million ounces since 1933. China's central bank increased gold reserves by 1,948 metric tons between 2015 and 2024. Russia held the world's second-largest gold reserve at 2,299 metric tons as of mid-2026, ahead of the eurozone's combined 10,791 tons.
The filing shows the Bank of Korea chose a U.S.-listed ETF rather than physical bullion, a structure that avoids the custody and logistical demands of storing metal domestically. SPDR Gold Trust, the world's largest gold-backed ETF by assets under management, has attracted institutional and sovereign buyers seeking liquid exposure without taking delivery. The fund tracks spot gold prices and holds physical bars in a London vault.
South Korea's decision to re-enter gold markets after a 13-year absence follows similar moves by peer institutions. The Bank of Japan, the Bank of Thailand, and India's central bank have all expanded gold allocations since 2020. Officials at the Bank of Korea have cited diversification of foreign reserves and hedging against currency volatility as rationales for such moves, though the bank did not publicly comment on the specific rationale for this purchase.
The $250 million position represents roughly 0.2 percent of the Bank of Korea's total foreign exchange reserves, which stood at $370 billion in July 2026. Gold comprises a small fraction of the central bank's reserve portfolio; most reserves remain in foreign currency deposits and securities.
The SEC filing is public record available to investors and analysts. The timing of the disclosure, filed in Q2 reporting, means the purchase occurred between April and June 2026, though the central bank's announcement came in August. The Bank of Korea does not typically issue separate statements on individual reserve allocations; the ETF position became known through standard institutional disclosure channels.
