VanEck Merk Gold Trust (OUNZ) 10-Q 12 Sep 14 2014 Q2 Quarterly report Financial data

Document_And_Entity_Informatio

Document And Entity Information (USD $)	6 Months Ended
	Jul. 31, 2014
Document Information [Line Items]	'
Entity Registrant Name	'Merk Gold Trust
Document Type	'10-Q
Current Fiscal Year End Date	'--12-31
Entity Public Float	$0
Amendment Flag	'false
Entity Central Index Key	'0001546652
Entity Current Reporting Status	'Yes
Entity Voluntary Filers	'No
Entity Filer Category	'Non-accelerated Filer
Entity Well-known Seasoned Issuer	'No
Document Period End Date	31-Jul-14
Document Fiscal Year Focus	'2014
Document Fiscal Period Focus	'Q2
Merk Gold Shares [Member]	'
Document Information [Line Items]	'
Entity Common Stock, Shares Outstanding	4,347,492
Common Class A [Member]	'
Document Information [Line Items]	'
Entity Common Stock, Shares Outstanding	0

Statement_of_Assets_and_Liabil

Statement of Assets and Liabilities (Unaudited) (USD $)	3 Months Ended
	Jul. 31, 2014
Assets	'
Investment in gold bullion (cost $56,016,564)	$55,829,977
Receivable for capital Shares sold	18,094
Total Assets	55,848,071
Liabilities	'
Sponsor's fee payable	18,097
Total Liabilities	18,097
Net Assets	55,829,974
Net Assets Consists of:	'
Paid-in-capital	56,053,331
Accumulated net investment loss	-37,406
Accumulated net realized gain	636
Unrealized appreciation (depreciation) on investment in gold bullion	-186,587
	$55,829,974
Shares issued and outstanding (no par value) (in Shares)	4,347,492
Net asset value per share (in Dollars per share)	$12.84

Statement_of_Assets_and_Liabil1

Statement of Assets and Liabilities (Unaudited) (Parentheticals) (USD $)	Jul. 31, 2014
Cost of gold bullion	$56,016,564

Statement_of_Operations_Unaudi

Statement of Operations (Unaudited) (USD $)	3 Months Ended
	Jul. 31, 2014
Expenses	'
Sponsor's fee	$37,406
Total expenses	37,406
Net investment loss	-37,406
Net Realized and Unrealized Gain (Loss)	'
Net realized gain from gold bullion distributed for redemptions	636
Net change in unrealized appreciation (depreciation) on investment in gold bullion	-186,587
Net realized and unrealized loss from operations	-185,951
Net Decrease in Net Assets resulting from operations	($223,357)

Statement_of_Changes_in_Net_As

Statement of Changes in Net Assets (Unaudited) (USD $)	3 Months Ended
	Jul. 31, 2014
Net Assets – beginning of period	$1,306,250
Net Assets – end of period	55,829,974
Creations	54,817,367
Redemptions	-70,286
Net investment loss	-37,406
Net realized gain from gold bullion distributed for redemptions	636
Net change in unrealized appreciation (depreciation) on investment in gold bullion	($186,587)

Financial_Highlights_Unaudited

Financial Highlights (Unaudited) (Details)	3 Months Ended
	Jul. 31, 2014
Disclosure Text Block Supplement [Abstract]	'
Additional Financial Information Disclosure [Text Block]	'
	Financial Highlights (Unaudited)
	For the period May 6, 2014* to July 31, 2014
	Per Share Performance (for a share outstanding throughout the entire period)
	Net asset value per Share, beginning of period	$	13.06
	Net investment loss**		(0.01	)
	Net realized and unrealized gain (loss) on investment in gold bullion		(0.21	)
	Net change in net assets from operations		(0.22	)
	Net asset value per share, end of period	$	12.84
	Total return, at net asset value***		(1.68	)%
	Ratio to average net assets:
	Net investment loss		(0.40	)%****
	Expenses		(0.40	%****)
	* Commencement of operations.
	** Calculated using average shares outstanding
	*** Not annualized
	**** Annualized

Schedule_of_Investments_Unaudi

Schedule of Investments (Unaudited)	3 Months Ended
	Jul. 31, 2014
Schedule of Investments [Abstract]	'
Investment Holdings, Schedule of Investments [Text Block]	'
	Merk Gold Trust
	Schedule of Investment (unaudited)
	At July 31, 2014
	Description	Fine Ounces		Cost		Fair Value		% of Net Assets
	Gold Bullion		43,439		$56,016,564		$55,829,977		100.00%

1_ORGANIZATION

1. ORGANIZATION	3 Months Ended
	Jul. 31, 2014
Disclosure Text Block [Abstract]	'
Business Description and Basis of Presentation [Text Block]	'
	1. ORGANIZATION
	The Merk Gold Trust (the “Trust”) is a trust formed on May 6, 2014 under New York law pursuant to a depository trust agreement. After consideration of Financial Accounting Standards Topic 946, Merk Investments LLC (the “Sponsor”) has concluded it meets the fundamental characteristics of an investment company. In addition, while the Trust does not currently possess all of the typical characteristics of an investment company, it believes its activities are consistent with those of an investment company and will therefore apply the guidance in Financial Accounting Standards Topic 946, including disclosure of the financial support contractually required to be provided by an investment company to any of its investees. The Sponsor is responsible for, among other things, overseeing the performance of The Bank of New York Mellon Corporation (the “Trustee”) and the Trust’s principal service providers, including the preparation of financial statements. The Trustee is responsible for the day-to-day administration of the Trust.
	Virtu Financial, also known as the Lead Market Maker, is the Initial Purchaser and contributed 1,000 ounces of Gold in exchange for 100,000 shares on May 6, 2014. At contribution, the value of the gold deposited with the Trust was based on the price of an ounce of Gold of $1,306.25.  The Initial Purchaser is not affiliated with the Sponsor or the Trustee.
	The Trust’s primary objective is to provide investors with an opportunity to invest in gold through the shares and be able to take delivery of physical gold bullion and gold coins (physical gold) in exchange for their shares.  The Trust’s secondary objective is for the shares to reflect the performance of the price of gold less the expenses of the Trust’s operations.  The Trust is not actively managed.
	The fiscal year end of the Trust is January 31st.

2_SIGNIFICANT_ACCOUNTING_POLIC

2. SIGNIFICANT ACCOUNTING POLICIES	3 Months Ended
	Jul. 31, 2014
Accounting Policies [Abstract]	'
Significant Accounting Policies [Text Block]	'
	2. SIGNIFICANT ACCOUNTING POLICIES
	In preparing financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) management makes estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements, as well as the reported amount of revenue and expenses reported during the period. Actual results could differ from these estimates.
	The accompanying unaudited financial statements were prepared in accordance with GAAP for interim financial information and with the instructions for the Form 10-Q. In the opinion of the Trust’s management, all adjustments (which consists of normal recurring adjustments) necessary to present fairly the financial position, results of operations as of and for the period May 6, 2014 to July 31, 2014 have been made.
	The following is a summary of significant accounting policies followed by the Trust.
	2.1 Valuation of Gold
	Various inputs are used in determining the value of the Trust’s investment. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, and credit risk). Level 3 includes significant unobservable inputs (including the Trust’s own assumptions in determining the fair value of investments).
	London Gold Delivery Bars are held by JPMorgan Chase Bank, N.A. (the “Custodian”), on behalf of the Trust, at the London, United Kingdom vaulting premises. All gold is valued based on its Fine Ounce content, calculated by multiplying the weight of gold by its purity; the same methodology is applied independent of the type of gold held by the Trust; similarly, the value of up to 430 Fine Ounces of unallocated gold the Trust may hold is calculated by
	multiplying the number of Fine Ounces with the price of gold determined by the Trustee as follows.  The Trustee values the gold held by the Trust on the basis of the price of a Fine Ounce as set by the afternoon session of the twice daily fix of the price of a Fine Ounce which starts at 3:00 PM London, England time and is performed by the five members of the London gold fix and is therefore classified as Level 1. There were no transfers between levels during the period.
	2.2 Expenses
	The Trustee issues shares to pay the Sponsor’s fee; the Sponsor pays the Trust’s ordinary expenses. The net asset value of the Trust is used to compute the Sponsor’s fee, and the Trustee subtracts from the net asset value of the Trust the amount of accrued Sponsor’s fee. To the extent the Trust issues additional shares to pay the Sponsor’s fee or sells gold to cover expenses or liabilities, the amount of gold represented by each share will decrease. New deposits of gold, received in exchange for new shares issued by the Trust, would not reverse this trend.
	2.3 Creations & Redemptions of Shares
	Shares are issued and redeemed by the Trust in blocks of 50,000 shares called “Baskets” in exchange for gold from certain registered broker-dealers or other securities market participants (“Authorized Participants”). Investors that are not Authorized Participants may also take delivery of physical gold in exchange for their shares (“Delivery Applicants”).
	Authorized Participants
	The Trust issues and redeems Baskets only to Authorized Participants.  The creation and redemption of Baskets will only be made in exchange for the delivery to the Trust or the distribution by the Trust of the amount of gold represented by the Baskets being created or redeemed, the amount of which will be based on the combined Fine Ounces represented by the number of shares included in the Baskets being created or redeemed determined on the day the order to create or redeem Baskets is properly received.
	Orders to create and redeem Baskets may be placed only by Authorized Participants.  An Authorized Participant must: (1) be a registered broker-dealer or other securities market participant, such as a bank or other financial institution, which, but for an exclusion from registration, would be required to register as a broker-dealer to engage in securities transactions, (2) be a participant in DTC, and (3) must have an agreement with the Custodian establishing an unallocated account in London or have an existing unallocated account meeting the standards described herein.  To become an Authorized Participant, a person must enter into an Authorized Participant Agreement with the Sponsor and the Trustee.  The Authorized Participant Agreement provides the procedures for the creation and redemption of Baskets and for the delivery of the gold required for such creations and redemptions.  The Authorized Participant Agreement and the related procedures attached thereto may be amended by the Trustee and the Sponsor, without the consent of any investor or Authorized Participant.  A transaction fee of $500 will be assessed on all creation and redemption transactions.  Multiple Baskets may be created on the same day, provided each Basket meets the requirements described below and that the Custodian is able to allocate gold to the Trust Allocated Account such that the Trust Unallocated Account holds no more than 430 Fine Ounces of gold at the close of a business day.
	Authorized Participants who make deposits with the Trust in exchange for Baskets will receive no fees, commissions or other form of compensation or inducement of any kind from either the Sponsor or the Trust, and no such person has any obligation or responsibility to the Sponsor or the Trust to effect any sale or resale of shares.
	Delivery Applicants
	In exchange for its shares and payment of a processing fee, a Delivery Applicant will be entitled to one or more bars or coins of physical gold having approximately the total Fine Ounces represented by the shares on the day on which the Delivery Applicant’s broker-dealer submits his or her shares to the Trust in exchange for physical gold (a “Share
	Submission Day”).  As it is unlikely that the total Fine Ounces of physical gold will exactly correspond to the Fine Ounces represented by a specific number of shares, a Delivery Applicant will likely receive some cash representing the net sale proceeds of any excess Fine Ounces (i.e., the Cash Proceeds).  To minimize the Cash Proceeds of any exchange, the Delivery Application requires that the number of shares submitted closely correspond in Fine Ounces to the Fine Ounces of physical gold that is held or that is to be acquired by the Trust for which the delivery is sought.  Share submissions are processed in the order approved.
	Changes in the shares for the period ending July 31, 2014 are as follows:
		Shares			Amount
	Shares, beginning of period		100,000		$	1,306,250
	Shares issued		4,252,898			54,817,367
	Shares redeemed		(5,406	)		(70,286	)
	Net increase		4,347,492		$	56,053,331
	2.4 Income Taxes
	The Trust is treated as a “grantor trust” for US federal tax purposes. As a result, the Trust itself is not subject to US federal income tax. Instead, the Trust's income and expenses “flow through” to the shareholders, and the Trustee reports the Trust's income, gains, losses and deductions to the Internal Revenue Service on that basis.
	The Sponsor has evaluated whether or not there are uncertain tax positions that require financial statement recognition and has determined that no reserves for uncertain tax positions are required as of July 31, 2014.
	2.5. Revenue Recognition Policy
	A gain or loss is recognized based on the difference between the selling price and the average cost method of the gold sold.

3_INVESTMENT_IN_GOLD

3. INVESTMENT IN GOLD	3 Months Ended
	Jul. 31, 2014
Investment Holdings [Text Block] [Abstract]	'
Investment Holdings [Text Block]	'
	3. INVESTMENT IN GOLD
	The following represents the changes in ounces of gold and the respective fair value at July 31, 2014:
		Ounces			Fair Value
	Beginning balance as of May 6, 2014		1,000		$	1,306,250
	Gold bullion contributed		42,493			54,817,367
	Gold bullion distributed		(54	)		(70,286	)
	Change in unrealized depreciation		—			(186,587	)
	Realized gain from gold distributed		—			636
	Net investment loss		—			(37,406	)
	Balance as of July 31, 2014		43,439		$	55,829,974

4_RELATED_PARTIES_SPONSOR_TRUS

4. RELATED PARTIES - SPONSOR, TRUSTEE, CUSTODIAN AND MARKETING FEES	3 Months Ended
	Jul. 31, 2014
Related Party Transactions [Abstract]	'
Related Party Transactions Disclosure [Text Block]	'
	4. RELATED PARTIES - SPONSOR, TRUSTEE, CUSTODIAN AND MARKETING FEES
	Fees paid are to the Sponsor as compensation for services performed under the Trust Agreement. The Sponsor's fee is payable at an annualized rate of 0.40% of the Trust’s Net Asset Value, accrued on a daily basis computed on the prior Business Day’s Net Asset Value and paid monthly in arrears.
	The Sponsor has agreed to assume the following administrative and marketing expenses incurred by the Trust: the Trustee’s monthly fee and out-of-pocket expenses; the Custodian’s fee; the marketing support fees and expenses; expenses reimbursable under the Custody Agreement; the precious metals dealer’s fees and expenses reimbursable under its agreement with the Sponsor; exchange listing fees; Securities and Exchange Commission registration fees; printing and mailing costs; maintenance expenses for the Trust’s website; audit fees; and up to $100,000 per annum in legal expenses.
	Affiliates of the Trustee, as well as affiliates of the Custodian may from time to time act as Authorized Participants or purchase or sell gold or shares for their own account, as agent for their customers and for accounts over which they exercise investment discretion.

5_SHAREHOLDER_OWNERSHIP

5. SHAREHOLDER OWNERSHIP	3 Months Ended
	Jul. 31, 2014
Disclosure Text Block Supplement [Abstract]	'
Shareholders' Equity and Share-based Payments [Text Block]	'
	5. SHAREHOLDER OWNERSHIP
	Merk Hard Currency Fund owned a market value of $40,186,632 which equates to 72% ownership in the Trust at July 31, 2014.  The Sponsor acts as investment advisor to the Merk Hard Currency Fund.

6_CONCENTRATION_OF_RISK

6. CONCENTRATION OF RISK	3 Months Ended
	Jul. 31, 2014
Risks and Uncertainties [Abstract]	'
Concentration Risk Disclosure [Text Block]	'
	6. CONCENTRATION OF RISK
	The Trust’s sole business activity is the investment in Gold bullion. Several factors could affect the price of gold: (i) global gold supply and demand, which is influenced by such factors as forward selling by gold producers, purchases made by gold producers to unwind gold hedge positions, central bank purchases and sales, and production and cost levels in major gold-producing countries; (ii) investors’ expectations with respect to the rate of inflation; (iii) currency exchange rates; (iv) interest rates; (v) investment and trading activities of hedge funds and commodity funds; and (vi) global or regional political, economic or financial events and situations. In addition, there is no assurance that gold will maintain its long-term value in terms of purchasing power in the future. In the event that the price of gold declines, the Sponsor expects the value of an investment in the shares to decline proportionately. Each of these events could have a material effect on the Trust’s financial position and results of operations.

7_INDEMNIFICATION

7. INDEMNIFICATION	3 Months Ended
	Jul. 31, 2014
Policy Text Block [Abstract]	'
Guarantees, Indemnifications and Warranties Policies [Policy Text Block]	'
	7. INDEMNIFICATION
	Under the Trust’s organizational documents, each of the Trustee (and its directors, employees and agents) and the Sponsor (and its members, managers, directors, officers, employees, affiliates) is indemnified against any liability, cost or expense it incurs without gross negligence, bad faith or willful misconduct on its part and without reckless disregard on its part of its obligations and duties under the Trust’s organizational documents. The Trust’s maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Trust that have not yet occurred.

8_SUBSEQUENT_EVENTS

8. SUBSEQUENT EVENTS	3 Months Ended
	Jul. 31, 2014
Subsequent Events [Abstract]	'
Subsequent Events [Text Block]	'
	8. SUBSEQUENT EVENTS
	Management has evaluated the events and transactions that have occurred through the date the financial statements were issued and noted no items requiring adjustment of the financial statements or additional disclosures.

Financial_Highlights_Unaudited1

Financial Highlights (Unaudited) (Details) (Tables)	3 Months Ended
	Jul. 31, 2014
Disclosure Text Block Supplement [Abstract]	'
Financial HighlightsTable Text Block	'Per Share Performance (for a share outstanding throughout the entire period)
	Net asset value per Share, beginning of period	$	13.06
	Net investment loss**		(0.01	)
	Net realized and unrealized gain (loss) on investment in gold bullion		(0.21	)
	Net change in net assets from operations		(0.22	)
	Net asset value per share, end of period	$	12.84
	Total return, at net asset value***		(1.68	)%
	Ratio to average net assets:
	Net investment loss		(0.40	)%****
	Expenses		(0.40	%****)

2_SIGNIFICANT_ACCOUNTING_POLIC1

2. SIGNIFICANT ACCOUNTING POLICIES (Tables)	3 Months Ended
	Jul. 31, 2014
Accounting Policies [Abstract]	'
Schedule of Capital Units [Table Text Block]	'Changes in the shares for the period ending July 31, 2014 are as follows:
		Shares			Amount
	Shares, beginning of period		100,000		$	1,306,250
	Shares issued		4,252,898			54,817,367
	Shares redeemed		(5,406	)		(70,286	)
	Net increase		4,347,492		$	56,053,331

3_INVESTMENT_IN_GOLD_Tables

3. INVESTMENT IN GOLD (Tables)	3 Months Ended
	Jul. 31, 2014
Investment Holdings [Text Block] [Abstract]	'
Activity in Gold Bullion [Table Text Block]	'The following represents the changes in ounces of gold and the respective fair value at July 31, 201
		Ounces			Fair Value
	Beginning balance as of May 6, 2014		1,000		$	1,306,250
	Gold bullion contributed		42,493			54,817,367
	Gold bullion distributed		(54	)		(70,286	)
	Change in unrealized depreciation		—			(186,587	)
	Realized gain from gold distributed		—			636
	Net investment loss		—			(37,406	)
	Balance as of July 31, 2014		43,439		$	55,829,974

Financial_Highlights_Unaudited2

Financial Highlights (Unaudited) (Details) (Details) - Financial Highlights (Unaudited) (USD $)	3 Months Ended
	Jul. 31, 2014
Financial Highlights (Unaudited) [Abstract]	'
Net asset value per Share, beginning of period	$13.06
Total return, at net asset value***	($1.68)	[1]
Ratio to average net assets:	'
Net investment loss	-0.40%	[2]
Expenses	0.40%	[2]
Net investment loss**	($0.01)	[3]
Net realized and unrealized gain (loss) on investment in gold bullion	($0.21)
Net change in net assets from operations	($0.22)
Net asset value per share, end of period	$12.84
[1]	Not annualized
[2]	Annualized
[3]	Calculated using average shares outstanding

Schedule_of_Investments_Unaudi1

Schedule of Investments (Unaudited) (Details) (USD $)	Jul. 31, 2014	6-May-14	5-May-14
	oz	oz
Schedule of Investments [Abstract]	'	'	'
Gold (in Ounces)	43,439	1,000	'
Investment Owned, at Cost	$56,016,564	'	'
Investment Owned, at Fair Value	$55,829,977	'	$1,306,250
Investment Owned, Percent of Net Assets	100.00%	'	'

1_ORGANIZATION_Details

1. ORGANIZATION (Details) (USD $)	Jul. 31, 2014	6-May-14
	oz	oz
Disclosure Text Block [Abstract]	'	'
Gold	43,439	1,000
Common Stock, Shares, Issued	'	100,000
Gold, Value	'	$1,306.25

2_SIGNIFICANT_ACCOUNTING_POLIC2

2. SIGNIFICANT ACCOUNTING POLICIES (Details) (USD $)	3 Months Ended
	Jul. 31, 2014
	oz
Accounting Policies [Abstract]	'
Gold, Maximum Unallocated Held	430
Shares Prescribed Aggregation	50,000
Transaction Fee	$500

2_SIGNIFICANT_ACCOUNTING_POLIC3

2. SIGNIFICANT ACCOUNTING POLICIES (Details) - Changes in Shares (USD $)	3 Months Ended
	Jul. 31, 2014
Changes in Shares [Abstract]	'
Shares, beginning of period	100,000
Shares, beginning of period	$1,306,250
Shares issued	4,252,898
Shares issued	54,817,367
Shares redeemed	-5,406
Shares redeemed	-70,286
Net increase	4,347,492
Net increase	$56,053,331

3_INVESTMENT_IN_GOLD_Details_A

3. INVESTMENT IN GOLD (Details) - Activity in Gold Bullion (USD $)	3 Months Ended
	Jul. 31, 2014
	oz
Activity in Gold Bullion [Abstract]	'
Balance, Ounces (in Ounces)	1,000
Balance, Fair Value	$1,306,250
Gold bullion contributed (in Ounces)	42,493
Gold bullion contributed	54,817,367
Gold bullion distributed (in Ounces)	-54
Gold bullion distributed	-70,286
Change in unrealized depreciation	-186,587
Realized gain from gold distributed	636
Net investment loss	-37,406
Balance, Ounces (in Ounces)	43,439
Balance, Fair Value	$55,829,977

4_RELATED_PARTIES_SPONSOR_TRUS1

4. RELATED PARTIES - SPONSOR, TRUSTEE, CUSTODIAN AND MARKETING FEES (Details) (USD $)	3 Months Ended
	Jul. 31, 2014
4. RELATED PARTIES - SPONSOR, TRUSTEE, CUSTODIAN AND MARKETING FEES (Details) [Line Items]	'
Trust Management Fee, Percentage Fee	0.40%
Legal [Member]	'
4. RELATED PARTIES - SPONSOR, TRUSTEE, CUSTODIAN AND MARKETING FEES (Details) [Line Items]	'
Administrative Fees Expense	100,000

5_SHAREHOLDER_OWNERSHIP_Detail

5. SHAREHOLDER OWNERSHIP (Details) (USD $)	Jul. 31, 2014
Disclosure Text Block Supplement [Abstract]	'
Equity Method Investment, Quoted Market Value	$40,186,632
Equity Method Investment, Ownership Percentage	72.00%