Marygold Companies Inc (MGLD)

[DrD]

Fox, the AUM's (or more directly total NAV) of the funds are important because the average NAV totals of each USCF fund determines the management fees collected. Part of those fees go directly to the net income of the holding company (MGLD). More specifically the Gold fund is new so all those fees represent a new income stream, (same goes for the new Dividend Income Fund, and there are yet more funds pending release). The best example of course is USO still in the billion's of $'s of total NAV on its own, a few fractions of a % fee adds up quickly there. In addition each time a large group of shares (baskets) are created or redeemed there is yet another fee. So more fund shares, more total NAV, more fees. Seems at least as good as compound interest.

But don't take my word on all of this, here is a prospectus on USO from a few months back:
USO https://www.uscfinvestments.com/documents/united-states-oil-fund-pro-20220429.pdf