Company: FGDL
Filing Date: 2025-02-12
Form Type: 10-Q
Source: 0001140361-25-004056
Chunk: 7

Company: Franklin Templeton Holdings Trust
Filing Date: 2025-02-12
Form: 10-Q
Item: Part I, Item 2
Chunk 7
---
i.e., gold and
cash) less its liabilities. To determine the Fund’s NAV, the Administrator
generally will value the gold bullion held by the Fund on the basis of the LBMA
Gold Price PM as published by the IBA. IBA operates electronic auctions for
spot, unallocated loco London gold, providing a market-based platform for
buyers and sellers to trade. The auctions are run at 10:30 a.m. and 3:00 p.m.
London time for gold. The final auction prices are published to the market as
the LBMA Gold Price AM and the LBMA Gold Price PM, respectively. The
Administrator will calculate the NAV on each day NYSE Arca is open for regular
trading, at 12:00 PM New York time. If no LBMA Gold Price (AM or PM) is made on
a particular evaluation day or if the LBMA Gold Price PM has not been announced
by 12:00 PM New York time on a particular evaluation day, the next most recent
LBMA Gold Price AM or PM will be used in the determination of the NAV, unless
the Sponsor determines that such price is inappropriate to use as the basis for
such determination. If the Sponsor determines that such price is inappropriate
to use, it shall identify an alternate basis for evaluation of the gold bullion
held by the Fund that the Sponsor determines fairly represents the commercial
value of the Fund’s gold bullion. 

Once the value
of the gold bullion has been determined, the Administrator subtracts all
estimated accrued expenses and other liabilities of the Fund from the total
value of the gold bullion and any cash of the Fund. The resulting figure is the
NAV. The Administrator determines the NAV per Share by dividing the NAV of the
Fund by the number of Shares outstanding as of the close of trading on NYSE
Arca. 

Critical
Accounting Policy 

The financial
statements and accompanying notes are prepared in accordance with accounting
principles generally accepted in the United States of America. The preparation
of these financial statements relies on estimates and assumptions that impact
the Fund’s as well as the Trust’s financial position and results of operations.
These estimates and assumptions affect the Fund’s as well as the Trust’s
application of accounting policies. Below we describe the valuation of gold
bullion, a critical accounting policy that we believe is important to
understanding the results of operations and financial position. In addition,
please