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Gold miners ETF SGDM drops 21% in a month but shows resilience due to quality-focused strategy.

Market News
25 Mar 2026
24/7 Wall Street
View Source
Bullish
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The Sprott Gold Miners ETF (SGDM) fell 21.16% over the past month, reflecting a sharp decline in gold prices. However, it still posted a 3.21% gain year-to-date, outperforming the market-cap-weighted VanEck Gold Miners ETF (GDX) due to its quality-focused factor-based approach. SGDM selects miners based on revenue growth, free cash flow, and low debt, avoiding weaker companies. Investors should watch real interest rates, especially the 10-year Treasury yield, as rates below 4% tend to boost gold and miner stocks. The ETF periodically rebalances to favor financially stronger miners, which could lead to better performance if gold prices stay high and rates stabilize or fall.

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