The Bank of Korea revealed on Thursday that it holds a position in a gold exchange-traded fund (ETF) traded on U.S. stock markets valued at more than $250 million, marking the central bank's first foray into gold investment in 13 years.

In a filing with the U.S. Securities and Exchange Commission (SEC), the Bank of Korea stated that as of the end of the second quarter, it owned 679,765 shares of the SPDR Gold Trust, worth $250.4 million. The SPDR Gold Trust is one of the most widely traded gold ETFs in the United States. The central bank did not specify the exact timing of its gold ETF purchases, but the holding was not included in its filing for the first quarter's end. The SPDR Gold Trust fund is currently priced at approximately $400, recovering from $360 last month.

This investment represents the Bank of Korea's first gold purchase since it acquired 20 tonnes of bullion in 2013. Gold ETFs are classified as foreign securities and are included in the nation's foreign exchange reserves. In addition, the Bank of Korea recently announced plans to purchase domestically produced gold to diversify its reserves and hedge against geopolitical and inflation risks.