Profit Projection
GoldFinger’s profit projection for $ART is grounded in historical performance data of its underlying assets and transparent portfolio mechanics. Unlike traditional gold investments (which only track gold price movements) or volatile crypto assets (which rely on market sentiment), $ART’s returns are derived from a dual-income structure: long-term appreciation of physical gold + steady interest from gold bonds or enhanced returns from structured portfolio management. Below is a detailed breakdown of the profit model, APY calculations, and data validation.
1. Core Profit Drivers & Data Sources
ART’s returns are built on three interconnected pillars, with data sourced from authoritative financial institutions and 10-year historical trends:
1.1 Physical Gold Annual Growth Rate (9%+)
Data Source: London Bullion Market Association (LBMA) historical gold price data (2014–2024). Over the past decade, the annual average growth rate of LBMA Good Delivery gold (the global standard for physical gold) has been 9.2%, driven by macroeconomic factors (e.g., inflation hedging, central bank gold purchases) and geopolitical stability needs.
Assumption: We use a conservative 9% annual growth rate for projection, below the 10-year average to account for potential short-term market fluctuations.
1.2 Gold Bond Fixed Coupon Rate (8%)
Data Source: Investment-grade gold bonds issued by publicly listed financial institutions and gold mining companies. These bonds typically offer a fixed annual coupon rate of 6%–10% to compensate for gold industry-related risks; we use a mid-range 8% for projection, consistent with the average coupon rate of ART’s underlying bond portfolio.
Role: Bonds provide steady cash flow that is not fully dependent on gold price movements, smoothing portfolio returns during periods of gold price stagnation.
1.3 Portfolio Enhancement Factor (90%)
Rationale: The underlying asset portfolio (physical gold + gold bonds + pre-sold gold assets) is managed by licensed financial institutions. 10% of the funds are allocated as margin for gold swap contracts, locking the full 100% gold production. The remaining 90% of the funds are invested in gold-enhanced assets such as gold bonds.
Transparency: All margin allocations and related transactions are disclosed in quarterly audit reports, with no hidden fees.
2. APY Calculation Methodology
From two perspectives, ART's returns can be evaluated: gold-denominated APY (returns paid in gold-equivalent value) and U-denominated APY (returns converted to USD via stablecoins like USDT/USDC). Both are calculated based on the core formula provided:
Formula Core:
2.1 Gold-Denominated APY (15%)
Gold-denominated returns reflect the increase in ART’s value relative to physical gold:
Adjustment for gold-denominated focus: Gold-denominated APY prioritizes the preservation of gold ownership, so the "gold base growth rate" (9%) is excluded from the enhanced return calculation (as it represents the inherent value of the underlying gold).
2.2 U-Denominated APY (24%)
U-denominated returns convert all portfolio gains (gold growth + bond interest + enhanced returns) into USD:
3. Projection Validity & Limitations
Validity: The projection is based on 10 years of historical data (not speculative assumptions) — gold’s 9% growth and bonds’ 8% coupon are consistent with long-term market trends for investment-grade gold-related assets.
Limitations: This is a forward-looking projection, not a guaranteed return. Short-term deviations may occur due to extreme gold price swings (e.g., >20% annual volatility) or bond default risks (mitigated by ART’s diversified bond portfolio and issuer screening).
Conservatism: The 9% gold growth rate and 8% bond coupon are mid-range assumptions — actual returns could exceed projections if gold outperforms (e.g., 50%+ in 2025) or bond coupons are higher than 8%.
Example 1
Using the gold price of the past ten years as an example, for simplicity, we assume the asset portfolio consists only of forward contracts and gold bonds. In the first year, we lock in the future production of 1 ton of standard gold over ten years by paying a 10% deposit, while the remaining 90% of the funds are used to purchase one-year gold bonds with an interest rate of 6%. In the second year, after delivering 100kg of gold, 80% of the funds are used to purchase gold bonds, and so on. The performance is as follows
We can find that the performance of $ART is far superior to that of gold and gold miners ETFs in terms of returns and stability.
Example 2
Assuming the gold price increases by 6% annually in the future, the comparison is as follows,
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