Exchange-traded funds, or ETFs, have existed since 1993, though they became much more common in the early 2000s. Since then, gold ETFs have risen in popularity because they are a cheaper investment option than traditional mutual funds. ETFs represent shares of ownership of a unit investment trust that holds portfolios of stocks, bonds, currencies or commodities. They provide considerable flexibility in implementing various investment strategies and in building investment portfolios. Precious metals-focused ETFs are fairly common today and are a good choice for investors who want to invest in gold without personally trading gold futures or physical gold, such as gold coins.