Over the past year, owning gold mining companies through the VanEck Gold Miners ETF returned 50.7%, significantly outperforming the 23.7% return from holding physical gold via the SPDR Gold Trust. This difference is due to miners' operating leverage, where rising gold prices boost profits more than the metal price increase alone. However, mining stocks carry additional risks like geopolitical issues, cost inflation, and operational setbacks. For conservative investors, physical gold is safer, while miners suit those seeking higher, but riskier, returns.
In Q3 2026, investors put a record $31 billion into physically backed gold ETFs even as gold prices dropped 8.5% in September. This unusual buying amid rising Treasury yields and a stronger dollar suggests investors may be worried about financial str...
Gold ETFs GLD, GDX, and GDXJ have experienced sharply different returns during a recent gold price pullback. GLD, which holds physical gold, fell 7.12%, while GDX and GDXJ, which hold shares in gold mining companies, dropped 13.18% and 14.52% respect...
Gold prices fell to their lowest in two months after the Federal Reserve indicated another interest rate hike may occur by year-end, pushing rates to 3.75%-4.00%. Rising Treasury yields and a stronger US dollar have made bonds more attractive than go...
