U.S. Global Investors Advances Smart Beta 2.0 Strategy as GOAU ETF Transitions to Active Management and WAR ETF Marks One-Year Milestone

Rhea-AI Summary

U.S. Global Investors (NASDAQ: GROW) announced two milestones on December 30, 2025: the GOAU ETF will transition from passive indexing to transparent, active management under the firm’s Smart Beta 2.0 framework, and the WAR ETF marks its one-year anniversary.

Key facts: GOAU keeps its fund name, ticker and 0.60% gross expense ratio while moving to active security selection; GOAU posted a one-year NAV return of 103.85% (as of 9/30/2025); WAR shows a since-inception return of 25.07% (NAV) and targets defense, semiconductors, cybersecurity and data centers using Smart Beta 2.0 plus fundamental analysis.

Positive

• GOAU one-year NAV return +103.85% (as of 9/30/2025)
• GOAU retains ticker and gross expense ratio of 0.60%
• WAR since-inception NAV return +25.07% (as of 9/30/2025)
• GOAU shifts to active management under Smart Beta 2.0

Negative

• Funds are non-diversified, increasing concentration risk
• Investments in gold and precious metals are highly volatile
• Foreign and smaller-cap investments add political and liquidity risk

News Market Reaction – GROW

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1 alert

% News Effect

On the day this news was published, GROW declined NaN%, reflecting a moderate negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Spot gold price: $4,421 per ounce GOAU 1-year return (NAV): 103.85% GOAU 5-year return (NAV): 18.78% +5 more

8 metrics

Spot gold price $4,421 per ounce Touched on December 22, 2025 amid economic and geopolitical uncertainty

GOAU 1-year return (NAV) 103.85% Total annualized return as of 9/30/2025

GOAU 5-year return (NAV) 18.78% Annualized performance as of 9/30/2025

GOAU since inception (NAV) 17.87% Annualized return since inception, as of 9/30/2025

GOAU expense ratio 0.60% Gross expense ratio; unchanged with transition to active management

WAR since inception (NAV) 25.07% Total return since inception as of 9/30/2025

WAR since inception (Market) 25.00% Market value total return since inception as of 9/30/2025

Suggested gold allocation 5%–10% of portfolio Company’s stated view on sizing gold and precious metals exposure

Market Reality Check

Price: $3.26 Vol: Volume 81,605 is 2.47x th...

high vol

$3.26 Last Close

Volume Volume 81,605 is 2.47x the 20-day average of 32,975, indicating elevated trading interest ahead of this announcement. high

Technical Price $2.41 is trading just above the 200-day MA of $2.40, near a longer-term equilibrium level.

Peers on Argus

GROW fell 2.43% with elevated volume, while close peers showed mixed moves: EQS ...

1 Up

GROW fell 2.43% with elevated volume, while close peers showed mixed moves: EQS -2.52%, BCG -3.85%, CUBA -1.18%, but RMCO +4.64% and RAND +2.90%. Momentum data flags only BCG on the upside, suggesting GROW’s action was more stock-specific than part of a broad asset-management move.

Historical Context

5 past events · Latest: Dec 12 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Dec 12	Dividend declaration	Positive	-1.6%	Maintained monthly dividends and highlighted strength in gold, silver and airlines.
Nov 12	Earnings rebound	Positive	-2.9%	Return to profitability with higher investment income and operating revenues.
Nov 06	Earnings webcast	Neutral	-2.9%	Scheduled webcast to discuss fiscal results and outlook with investors.
Oct 28	Community partnership	Positive	+0.0%	Multi‑year Model UN support including an initial $10,000 education donation.
Sep 22	Dividend & ETF high	Positive	+0.0%	Maintained dividend as GOAU ETF hit a record high and strong one-year returns.

Pattern Detected

Positive corporate updates (dividends, profitability, ETF strength) have often been followed by flat-to-negative next-day moves, indicating a pattern of muted or contrarian price reactions to ostensibly good news.

Recent Company History

Over the past few months, GROW has highlighted recurring monthly dividends, strong performance in its GOAU gold mining ETF, and a rebound to profitability in Q1 fiscal 2026, supported by higher investment income and operating revenues. The company also maintained shareholder-friendly actions like a share repurchase program and community partnerships. Despite these generally constructive updates, price reactions after the Sep–Dec 2025 releases were mostly negative or flat, so today’s ETF-strategy milestone fits into a history of good news not consistently translating into immediate price strength.

Market Pulse Summary

This announcement highlights GROW’s strategic focus on its ETF platform, with GOAU shifting from pas...

Analysis

This announcement highlights GROW’s strategic focus on its ETF platform, with GOAU shifting from passive indexing to active management while retaining its 0.60% expense ratio and Smart Beta 2.0 process. It also underscores WAR’s first‑year track record, including since‑inception NAV returns above 25% as of 9/30/2025. In context with prior releases about dividends and profitability, investors may watch future asset flows, performance persistence, and execution of the new active mandate as key drivers.

Key Terms

etf, smart beta 2.0, active management, nav, +4 more

8 terms

etf financial

"The U.S. Global GO GOLD and Precious Metals Miner ETF (GOAU) will transition..."

An ETF, or exchange-traded fund, is like a basket of different investments such as stocks or bonds that you can buy or sell easily on the stock market, just like a regular share. It allows people to invest in many companies at once, making it a simple way to grow savings without picking individual stocks.

smart beta 2.0 financial

"remaining grounded in the Company’s proprietary Smart Beta 2.0 investment discipline."

A modern iteration of rules-based investment strategies that builds on original “smart beta” ideas by combining multiple factors (like value, quality, momentum or low risk), managing trade costs and crowding, and adding rules to reduce big drawdowns. It matters to investors because it aims to deliver better risk-adjusted returns than a simple market index while avoiding some pitfalls of early factor strategies — think of it as a smarter recipe that mixes ingredients and steps to keep the cake from burning when markets get hot.

active management financial

"will transition from passive indexing to active management, enabling greater agility..."

Active management is an investment approach in which a fund manager or team regularly buys, sells, and adjusts holdings to try to beat a market benchmark or reach a specific target. It matters to investors because it can potentially deliver higher returns or reduce losses compared with a passive, market-tracking approach, but usually carries higher fees and the risk that the manager’s choices underperform; think of it like hiring a driver to navigate around traffic rather than staying on autopilot.

nav financial

"U.S. Global GO GOLD and Precious Metal Miners ETF (NAV) | 103.85% | 18.78%..."

Net asset value (NAV) is the total value of all the investments and assets in a fund or company, minus any debts or liabilities, divided by the number of shares or units outstanding. It represents the per-share worth, giving investors an idea of what each share is truly worth based on the underlying assets. Think of it like a company's total worth divided among its shares, helping investors assess whether a share is fairly priced.

market value financial

"U.S. Global GO GOLD and Precious Metal Miners ETF (Market Value) | 105.01%..."

Market value is the total worth investors place on a publicly traded company at a given moment, calculated by multiplying the current share price by the number of shares outstanding — like the price tag you’d see if you tried to buy the whole business today. It matters to investors because it shows how the market views a company’s size, growth prospects and risk, influences index membership and investment strategies, and helps compare companies the way you’d compare houses by their market prices.

gross expense ratio financial

"Since Inception | Gross Expense Ratio"

The gross expense ratio is the total annual cost of running an investment fund expressed as a percentage of the fund’s assets, calculated before any temporary fee waivers or reimbursements. It matters because those costs are taken out of returns, so a higher ratio is like a heavier toll on your investment’s growth; knowing it helps investors compare how much each fund’s management and operations will reduce long‑term returns.

non-diversified financial

"The Fund is non-diversified, meaning it may concentrate its assets in fewer..."

Non-diversified describes an investment vehicle or portfolio that concentrates its holdings in a relatively small number of stocks, bonds or similar assets rather than spreading money across many different holdings. It matters to investors because concentration can amplify both gains and losses — like carrying most of your groceries in a few bags instead of many — so these investments can be riskier and more volatile but may offer higher reward if the chosen assets perform well.

s&p 500 financial

"The S&P 500 is a stock market index that tracks the performance of 500..."

The S&P 500 is a broad stock market index that tracks the performance of 500 large U.S. companies, weighted so bigger firms have a larger impact. Investors use it like a thermometer or benchmark to judge how the overall U.S. stock market or a portfolio is doing; movements in the index influence investor sentiment, fund performance, and many passive investment products that aim to match its returns.

AI-generated analysis. Not financial advice.

San Antonio, TX, Dec. 30, 2025 (GLOBE NEWSWIRE) -- U.S. Global Investors, Inc. (NASDAQ: GROW) (the "Company"), a registered investment advisory firm with longstanding experience in global markets and specialized sectors, is proud to celebrate two significant milestones on December 30, 2025. In a year marked by historic moves in gold, the U.S. Global GO GOLD and Precious Metals Miner ETF (GOAU) will transition from passive indexing to active management, enabling greater agility while remaining grounded in the Company’s proprietary Smart Beta 2.0 investment discipline.

At the same time, the U.S. Global Technology and Aerospace & Defense ETF (WAR) celebrates its first anniversary, highlighting its targeted exposure to defense spending and the ongoing AI buildout.

Gold Momentum Drives GOAU to Active Management

2025 has been a record-setting year for gold, reports Reuters. Prices have reached historic levels, with spot gold touching $4,421 an ounce on December 22, amid economic and geopolitical uncertainty, central bank buying, and ongoing money printing. Investor interest has surged not only in physical bullion but also in gold and precious metals miners and royalty names.

Against this backdrop, U.S. Global Investors believes the current environment calls for greater selectivity and flexibility than a traditional index-based approach can offer. In response, the GOAU ETF is transitioning from tracking an index to a transparent, actively managed strategy, while keeping its fund name, ticker, and expense ratio unchanged – and while continuing to apply the same Smart Beta 2.0 framework that has guided the fund since inception.

“We believe we are entering a new phase of the precious metals cycle, where security selection matters more than broad exposure,” said CEO and Chief Investment Officer Frank Holmes.

“GOAU has performed strongly year-to-date through December 18, and transitioning it to active management, while still guided by our Smart Beta 2.0 principles, allows us to identify quality miners, manage risk, and capitalize on emerging opportunities across the gold and precious metals space. This approach leverages our decades of expertise in gold to deliver thoughtful, differentiated exposure for our shareholders,” Holmes continues.

Past performance does not guarantee future results.

One Year Strong: WAR ETF Powers Ahead in Defense and Ai

December-end marks the one-year anniversary of the WAR ETF, based on a strategy designed to capture growth at the cutting edge of defense and technology. WAR invests across aerospace and defense, semiconductors, cybersecurity, and data centers, using a Smart Beta 2.0 approach plus fundamental analysis to target high-quality companies set to benefit from long-term trends in the global defense sector.

“Defense has evolved into an information technology business, with governments investing billions in AI, data centers, cybersecurity, and semiconductors,” said Holmes.

“WAR was built for this environment,” Holmes continued. “The strategy reflects our Smart Beta 2.0 philosophy, combining disciplined factor-based selection with fundamental insights, to seek exposure to companies aligned with the modernization of global defense infrastructure.”

Continued Commitment to Thematic, High-Conviction Sectors

These milestones reflect U.S. Global Investors’ ongoing commitment to thematic, high-conviction areas of the market and to delivering innovative Smart Beta 2.0 strategies that aim to help investors access differentiated opportunities across gold, defense and technology as well as airlines, luxury goods and commodities.

We remain focused on providing thoughtfully managed products designed to navigate market cycles and create long-term value for our shareholders. We invite you to learn more about the entire suite of U.S. Global ETFs by visiting www.usglobaletfs.com.

 ###

About U.S. Global Investors, Inc.

The story of U.S. Global Investors goes back more than 50 years when it began as an investment club. Today, U.S. Global Investors, Inc. (www.usfunds.com) is a registered investment adviser that focuses on niche markets around the world. Headquartered in San Antonio, Texas, the Company provides investment advisory and other services to U.S. Global Investors Funds and U.S. Global ETFs.

This news release may include certain “forward-looking statements” including statements relating to revenues, expenses, and expectations regarding market conditions. These statements involve certain risks and uncertainties. There can be no assurance that such statements will prove accurate and actual results and future events could differ materially from those anticipated in such statements.

Please carefully consider a fund’s investment objectives, risks, charges and expenses. For this and other important information, obtain a statutory and summary prospectus for GOAU or WAR by clicking here or here. Read it carefully before investing.

Total Annualized Returns as of 9/30/2025:

Fund	One-Year	Five-Year	Ten-Year	Since Inception	Gross Expense Ratio
U.S. Global GO GOLD and Precious Metal Miners ETF (NAV)	103.85%	18.78%	N/A	17.87%	0.60%
U.S. Global GO GOLD and Precious Metal Miners ETF (Market Value)	105.01%	18.79%	N/A	17.90%	0.60%
U.S. Global Technology and Aerospace & Defense ETF (NAV)	N/A	N/A	N/A	25.07%	0.60%
U.S. Global Technology and Aerospace & Defense ETF (Market Value)	N/A	N/A	N/A	25.00%	0.60%

Performance data quoted above is historical. Past performance is no guarantee of future results. Results reflect the reinvestment of dividends and other earnings. For a portion of periods, the fund had expense limitations, without which returns would have been lower. Current performance may be higher or lower than the performance data quoted. The principal value and investment return of an investment will fluctuate so that your shares, when redeemed, may be worth more or less than their original cost. Performance does not include the effect of any direct fees described in the fund’s prospectus which, if applicable, would lower your total returns. Performance quoted for periods of one year or less is cumulative and not annualized. Obtain performance data current to the most recent month-end at www.usfunds.com.

Investing involves risk, including the possible loss of principal.

The funds are actively-managed and there is no guarantee the investment objective will be met. The Fund is non-diversified, meaning it may concentrate its assets in fewer individual holdings than a diversified fund.

Shares of any ETF are bought and sold at market price (not NAV), may trade at a discount or premium to NAV and are not individually redeemed from the fund. Brokerage commissions will reduce returns.

Because the fund concentrates its investments in specific industries, it may be subject to greater risks and fluctuations than a portfolio representing a broader range of industries. The fund is non-diversified, meaning it may concentrate a larger portion of its assets in a smaller number of issuers than a diversified fund.

The fund invests in foreign securities, which involve greater volatility and political, economic and currency risks and differences in accounting methods. These risks are greater for investments in emerging markets. The fund may invest in the securities of smaller-capitalization companies, which may be more volatile than those of larger, more established companies.

Investments in gold, precious metals and minerals are subject to significant short-term price fluctuations and geopolitical, economic and regulatory risks. We believe these sectors are best limited to 5%–10% of a portfolio.

The S&P 500 is a stock market index that tracks the performance of 500 of the largest publicly traded companies in the United States, representing a broad measure of the U.S. equity market.

It is not possible to invest directly in an index.

Smart Beta 2.0 is an investment approach that combines the broad diversification and low cost of passive indexing with the factor-based insights and selectivity of active management strategies.

Fund holdings and allocations are subject to change at any time. Click here to view fund holdings for GOAU. Click here to view fund holdings for WAR.

GOAU and WAR are distributed by Quasar Distributors, LLC. U.S. Global Investors is the investment adviser to GOAU and WAR.

Attachments

• GOAU Climbed Higher in 2025
• The WAR ETF Has Outperformed the Market Since Inception

Holly Schoenfeldt
U.S. Global Investors, Inc.
210.308.1268
hschoenfeldt@usfunds.com

FAQ

What change did U.S. Global announce for the GOAU ETF (GROW: GOAU) on December 30, 2025?

GOAU will transition from passive indexing to a transparent, actively managed strategy while keeping its name, ticker and 0.60% gross expense ratio.

How did GOAU perform over one year as reported through 9/30/2025?

GOAU reported a one-year NAV return of 103.85% as of 9/30/2025.

What milestone did the WAR ETF (GROW: WAR) reach on December 30, 2025?

WAR celebrated its one-year anniversary and shows a since-inception NAV return of 25.07% as of 9/30/2025.

Will GOAU’s expense ratio or ticker change after the move to active management?

No; the announcement says GOAU will keep its existing fund name, ticker and 0.60% gross expense ratio.

What sectors does the WAR ETF target and why is it relevant for investors?

WAR targets aerospace & defense, semiconductors, cybersecurity and data centers to capture defense modernization and AI-related spending.

What investor risks did the announcement highlight for GOAU and WAR?

The release warns of concentration risk, gold and precious metals volatility, foreign market and small-cap risks, and that past performance is not indicative of future results.