abrdn Palladium ETF Trust Files 2023 Annual Report

TL;DR

<b>abrdn Palladium ETF Trust (PALL) filed its 2023 annual report, detailing its operations and financial status.</b>

AI Summary

abrdn Palladium ETF Trust (PALL) filed a Annual Report (10-K) with the SEC on February 29, 2024. The abrdn Palladium ETF Trust (PALL) filed its annual report for the fiscal year ended December 31, 2023. The ETF is registered under the Securities Exchange Act of 1934. The ETF's shares are traded on the NYSE Arca. The ETF's principal executive offices are located in Philadelphia, PA. The ETF was formerly known as Aberdeen Standard Palladium ETF Trust and ETFS Palladium Trust.

Why It Matters

For investors and stakeholders tracking abrdn Palladium ETF Trust, this filing contains several important signals. This filing provides investors with a comprehensive overview of the ETF's performance and holdings for the fiscal year 2023. As a 10-K filing, it is a mandatory annual report for publicly traded companies, offering detailed financial and operational information.

Risk Assessment

Risk Level: low — abrdn Palladium ETF Trust shows low risk based on this filing. The filing is a standard annual report for an ETF, containing routine disclosures without immediate significant financial or operational changes indicated.

Analyst Insight

Review the ETF's holdings and performance data within the 10-K to assess its alignment with investment objectives.

Key Numbers

• 2023-12-31 — Fiscal Year End (Fiscal year ended December 31, 2023)
• 2024-02-29 — Filing Date (Filed as of date)
• 001-34589 — Commission File Number (Commission File Number)

Key Players & Entities

• abrdn Palladium ETF Trust (company) — Registrant name
• PALL (company) — Trading Symbol
• abrdn ETFs Sponsor LLC (company) — Address of principal executive offices
• NYSE Arca (company) — Name of each exchange on which registered
• Aberdeen Standard Palladium ETF Trust (company) — Former company name
• ETFS Palladium Trust (company) — Former company name

FAQ

Industry Context

The abrdn Palladium ETF Trust is an exchange-traded fund that aims to track the price of palladium.

Regulatory Implications

The ETF is subject to regulations under the Securities Exchange Act of 1934, requiring annual filings like this 10-K.

What Investors Should Do

1. Analyze the ETF's holdings and investment strategy detailed in the 10-K.
2. Compare the ETF's performance against its benchmark and peers.
3. Review any disclosed risks or changes in the ETF's structure or operations.

Key Dates

• 2023-12-31: Fiscal Year End — End of the reporting period for the annual financial statements.
• 2024-02-29: Filing Date — Date the 10-K report was officially submitted to the SEC.

Year-Over-Year Comparison

This is the annual 10-K filing for the fiscal year ended December 31, 2023, following previous filings.

Key Financial Figures

• $295,490,794 — ares at redeemable value decreased from $295,490,794 at December 31, 2022 to $219,309,330 at
• $219,309,330 — om $295,490,794 at December 31, 2022 to $219,309,330 at December 31, 2023, the Trust's fisca
• $907 — 12. Palladium rose to a 13 year high of $907 per ounce in September 2014, a 27% incr
• $676 — to 2019, where it rose nearly 182% from $676 per troy ounce on December 31, 2016 to
• $1,905 — per troy ounce on December 31, 2016 to $1,905 per troy ounce on December 31, 2019. Th
• $2,781 — f palladium reached an all-time high of $2,781/oz on February 19, 2020, before closing
• $2,342 — fore closing out the year at a price of $2,342/oz on December 31, 2020. Similar to oth
• $3,015 — of P alladium reached a record high of $3,015 per ounce on March 7, 2022, as Russian'
• $2,259 — ending the first quarter at a price of $2,259 per ounce. On June 14th, 2022 the price
• $1,810 — 2 the price of palladium fell as low as $1,810 per ounce, as aggressive interest rate
• $2,315 — price of palladium increased as high as $2,315 per ounce on October 4th, 2022, as supp
• $1,775 — g the fourth quarter to end the year at $1,775 per ounce, down 10% from the end of 202
• $1,628 — estrictions, drove the price as high as $1,628 per ounce on April 21, 2023, the Chines
• $957 — st of the year before reaching a low of $957 per ounce on December 6, 2023. Fears of
• $1,221 — lly that saw the price climb as high as $1,221 per ounce on December 20, 2023, but the

Filing Documents

• pall-10k_123123.htm (10-K) — 771KB
• ex4-2.htm (EX-4.2) — 1830KB
• ex23-1.htm (EX-23.1) — 4KB
• ex31-1.htm (EX-31.1) — 13KB
• ex31-2.htm (EX-31.2) — 13KB
• ex32-1.htm (EX-32.1) — 7KB
• ex32-2.htm (EX-32.2) — 7KB
• ex97-1.htm (EX-97.1) — 52KB
• pall10k123123001.jpg (GRAPHIC) — 77KB
• pall10k123123002.jpg (GRAPHIC) — 66KB
• 0001999371-24-002923.txt (&nbsp;) — 4733KB
• pall-20231231.xsd (EX-101.SCH) — 18KB
• pall-20231231_cal.xml (EX-101.CAL) — 13KB
• pall-20231231_def.xml (EX-101.DEF) — 20KB
• pall-20231231_lab.xml (EX-101.LAB) — 161KB
• pall-20231231_pre.xml (EX-101.PRE) — 117KB
• pall-10k_123123_htm.xml (XML) — 189KB

Business

Item 1. Business 3 Trust Objective 3 Overview of the Palladium Industry 4 Operation of the Palladium Bullion Market 5 Secondary Market Trading 8 Valuation of Palladium and Computation of Net Asset Value 8 Trust Expenses 9 Creation and Redemption of Shares 9 Creation and Redemption Transaction Fee 14 The Sponsor 14 The Trustee 15 The Custodian 16 Inspection of Palladium 16 Description of Shares 17 Custody of the Trust's Palladium 18 United States Federal Income Tax Consequences 18 ERISA and Related Considerations 21

Risk Factors

Item 1A. Risk Factors 22

Unresolved Staff Comments

Item 1B. Unresolved Staff Comments 33

Cybersecurity

Item 1C. Cybersecurity 33

Properties

Item 2. Properties 34

Legal Proceedings

Item 3. Legal Proceedings 34

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 34 PART II 34

Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 34

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 37

Quantitative and Qualitative Disclosures about Market Risk

Item 7A. Quantitative and Qualitative Disclosures about Market Risk 41

Financial Statements and Supplementary Data

Item 8. Financial Statements and Supplementary Data 41

Changes in and Disagreements with Accountants on Accounting and Financial Disclosures

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosures 42

Controls and Procedures

Item 9A. Controls and Procedures 43

Other Information

Item 9B. Other Information 46 PART III 47

Directors, Executive Officers and Corporate Governance

Item 10. Directors, Executive Officers and Corporate Governance 47

Executive Compensation

Item 11. Executive Compensation 47

Security

Item 12. Security 48

Certain Relationships and Related Transactions, and Director Independence

Item 13. Certain Relationships and Related Transactions, and Director Independence 48

Principal Accounting Fees and Services

Item 14. Principal Accounting Fees and Services 49 PART IV 50

Exhibits, Financial Statement Schedule

Item 15. Exhibits, Financial Statement Schedule 50

Form 10K Summary

Item 16. Form 10K Summary 52 2 PART I Item 1. Business The purpose of the abrdn Palladium ETF Trust (the "Trust") is to own palladium transferred to the Trust in exchange for shares issued by the Trust ("Shares"). Each Share represents a fractional undivided beneficial interest in and ownership of the Trust. The assets of the Trust consist solely of palladium bullion. The Trust was formed on December 30, 2009 when an initial deposit of palladium was made in exchange for the issuance of two Baskets (a "Basket" consists of 50,000 Shares). The sponsor of the Trust is abrdn ETFs Sponsor LLC (the "Sponsor"). The trustee of the Trust is The Bank of New York Mellon (the "Trustee") and the custodian is JPMorgan Chase Bank N.A., London Branch (the "Custodian"). The Trust's Shares at redeemable value decreased from $295,490,794 at December 31, 2022 to $219,309,330 at December 31, 2023, the Trust's fiscal year end. Outstanding Shares in the Trust increased from 1,800,000 Shares at December 31, 2022 to 2,100,000 Shares at December 31, 2023. The Trust is not managed like a corporation or an active investment vehicle. The Trust has no directors, officers or employees. It does not engage in any activities designed to obtain a profit from or to improve the losses caused by changes in the price of palladium. The palladium held by the Trust will only be delivered to pay the remuneration due to the Sponsor (the "Sponsor's Fee"), distributed to Authorized Participants (defined below) in connection with the redemption of Baskets or sold (1) on an as-needed basis to pay Trust expenses not assumed by the Sponsor, (2) in the event the Trust terminates and liquidates its assets, or (3) as otherwise required by law or regulation. The Trust is not registered as an investment company under the Investment Company Act of 1940 and is not required to register under such act. The Trust does not and will not hold or trade in commodities futures contracts, "commodity interests" or an

View Full Filing

View this 10-K filing on SEC EDGAR