{"id":3574,"date":"2025-09-19T21:53:38","date_gmt":"2025-09-19T21:53:38","guid":{"rendered":"http:\/\/blog.valuengine.com\/?p=3574"},"modified":"2025-09-19T22:16:26","modified_gmt":"2025-09-19T22:16:26","slug":"gold-continues-to-outshine-equites","status":"publish","type":"post","link":"http:\/\/blog.valuengine.com\/index.php\/gold-continues-to-outshine-equites\/","title":{"rendered":"Gold Continues to Outshine Equites"},"content":{"rendered":"

This fact may surprise quite a few investors. During the period from January 1, 2000, through August 31, 2025, gold bullion delivered significantly higher returns than the S&P 500. Throw in last week where the S&P 500 Index rose 0.3% compared to 4% for GLD, the most-traded gold ETF, and gold\u2019s outperformance widens further. However, if dividends are taken into account and assumed to be reinvested as happens automatically for purchasers of S&P 500 ETF <\/span>SPY, <\/b>then the margin of outperformance is cut from more than 4% to approximately 2.55%.\u00a0<\/span><\/p>\n

All research 5,000+ stocks and 700+ ETFs updated on <\/span>www.ValuEngine.com<\/span><\/a><\/p>\n

Key performance metrics (Jan 1, 2000\u2013Aug 31, 2025)<\/span><\/p>\n\n\n\n\n\n\n\n
Metric\u00a0<\/b><\/td>\nGold Bullion<\/b><\/td>\nS&P 500 Index (Price)<\/b><\/td>\nS&P 500 Index (Tot. Return*)<\/b><\/td>\n<\/tr>\n
Beginning of period price<\/b><\/td>\n$272.65\u00a0<\/span><\/td>\n$1,425.59\u00a0<\/span><\/td>\n$75.84\u00a0<\/span><\/td>\n<\/tr>\n
End of period price<\/b><\/td>\n$3,447.95\u00a0<\/span><\/td>\n$6,460.26\u00a0<\/span><\/td>\n$645.05\u00a0<\/span><\/td>\n<\/tr>\n
Percentage gain<\/b><\/td>\n1164.60%<\/span><\/td>\n353.20%<\/span><\/td>\n603.08%<\/span><\/td>\n<\/tr>\n
Annualized Return<\/b><\/td>\n10.39%<\/span><\/td>\n6.06%<\/span><\/td>\n7.92%<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

The expectations of market strategists and pension consultants were quite different heading into 2000.\u00a0 Many were arguing against the traditional allocation of 5% to 10% to gold and\/or other commodities.\u00a0 One widely followed consultant wrote that gold is a dying asset that will always have a flat-to-negative return over long periods of time. Perhaps 25 years is not long enough.\u00a0 Let\u2019s take a quick look at what has changed to lead to a global increase of gold relative to fiat currencies not seen since the 1930s.\u00a0\u00a0<\/span><\/p>\n

Gold showed strong performance during market downturns, including the dot-com bubble and the 2008 financial crisis. This has provided updated evidence that its value as a portfolio diversifier was not a thing of the past.\u00a0\u00a0<\/span><\/p>\n

Let’s break this down decade by decade.\u00a0 From 2000 through 2009: Gold proved its mettle during a difficult decade for equities.\u00a0 This period included the dot-com crash, post-9\/11 global stability fears and the 2008 financial crisis, causing three significant bear markets for the S&P 500.\u00a0 Gold enjoyed a strong rally, beginning the decade at around $270 and closing near $1,087 per ounce.\u00a0 In contrast, investors in <\/span>SPY<\/b>, the first S&P 500 ETF, experienced a “lost decade,” with an annualized return of -9.78%.\u00a0\u00a0<\/span><\/p>\n

Current ValuEngine reports on all covered stocks and ETFS can be viewed<\/span> HERE<\/b><\/a><\/p>\n

During the next decade, things started changing after the first two years as post-financial-crisis confidence began to reinforce investor and consumer confidence in governmental stability.\u00a0 In 2010 and 2011, gold still prevailed.\u00a0 Although <\/span>SPY <\/b>rebounded nicely in both years, <\/span>GLD <\/b>had even higher returns both times.\u00a0 That was it for <\/span>GLD <\/b>\u00a0for the decade, however, as it underperformed <\/span>SPY <\/b>during 7 of the next eight years during an exceptional bull market for stocks.\u00a0 The exception was 2018 when both ETFs were down but <\/span>GLD<\/b> was down less.\u00a0 From 2013 through 2015, investors began using their gold allocations as sources of funds to buy stocks.\u00a0 Consequently, <\/span>GLD<\/b> plummeted more than 40%.\u00a0 Positive returns in 2016, 2017 and 2019, although not keeping up with <\/span>SPY<\/b>, allowed <\/span>GLD <\/b>to finish the decade a shade into positive territory.\u00a0 Moreover, at the end of 2019, bullion was still outperforming the S&P 500 price index for the century.\u00a0 .<\/span><\/p>\n

The current decade beginning with the Covid-19 Pandemic has been highly profitable for holders of both <\/span>SPY <\/b>and <\/span>GLD.\u00a0 <\/b>2020, many will recall that <\/span>SPY <\/b>took as much as a 40% plunge in the month of March followed by an even sharper rebound for the rest of the year.\u00a0 At the same time, the pandemic did quite a lot to shake faith for many people in global stability and <\/span>GLD<\/b> climbed 25% compared with the 18% gain for <\/span>SPY.<\/b> \u00a0 In 2021, with the nation optimistic that the pandemic was being controlled, <\/span>GLD <\/b>was used as a source of funds for stocks, slipping 4% while <\/span>SPY <\/b>gained 21%.\u00a0 In 2022, the spike in inflation was killing consumer confidence and didn\u2019t help the stock market either, spurring a reversal with an 18% loss by <\/span>SPY<\/b> while <\/span>GLD <\/b>lost 0.8%. The war in Ukraine was another possible factor in the erosion of confidence among global investors.\u00a0 Both <\/span>GLD <\/b>and <\/span>SPY <\/b>have posted double-digit gains in the past twenty months with gold taking off even higher since June of 2024.\u00a0 We think it may not be coincidental that during the same period the dollar has weakened considerably with respect to the Euro. There appears to be a dichotomy where US equity investors believe corporate profits in leadership companies will continue to accelerate; they continue to pour money into these and other index stocks.\u00a0 However, fund flows from Europe and a number of other countries into US-dollar denominated assets has significantly decreased and with these moves, the dollar continues to decline.<\/span><\/p>\n

The reason for this long recap of why the price of gold has defied experts\u2019 expectations is to set the stage for where we are now.\u00a0 The point is not that gold and US stocks are inversely correlated as many believe. In fact, that is definitely not true.\u00a0 Certainly, the performance we have seen in the past 25 years is not about gold as a commodity. The commodity indices have not done very well in many of the years that gold thrived. The latter group did very well when there were concerns about inflation but gold\u2019s pricing behavior indicates that it is the asset of choice when global investors (gold being a global asset) are concerned about the current and future stability of major governments and the ability of major global economies to dig themselves out of holds. Gold prospers when investors have long-term stability concerns even if they still see opportunities in the global stock markets.\u00a0 For US denominated assets, the price of gold also tends to rise when the US dollar makes a major move downward.\u00a0 The disinvesting trend of major global investors in US-denominated assets has not abated.\u00a0 To us, this questions the conventional wisdom that gold has had too much of a run and is too overpriced to be a prudent investment now. In fact, using the major gold mining stocks as a proxy, it may be too early to stop adding to positions in gold relative to US equities.\u00a0\u00a0<\/span><\/p>\n

Current ValuEngine reports on all covered stocks and ETFS can be viewed<\/span> HERE<\/b><\/a><\/p>\n

At ValuEngine, we currently cover 38 gold mining stocks that are listed on major exchanges.\u00a0 This industry is dominated by relatively small companies. Only 8 have a market capitalization of greater than $10 billion while 13 stocks with a market capitalization between $1 and $9.9 billion.\u00a0 Focusing on the top eight market cap stocks, three are rated <\/span>5 <\/b>(Strong Buy), four are rated <\/span>4 <\/b>(Buy) and the final stock, Kinross Corp (<\/span>KGC<\/b>) is rated <\/span>3 <\/b>(Hold).\u00a0 It is quite unusual for our predictive model for any industry to have 87.5% of all its stocks greater than $10 billion in market capitalization rated as buy or better.\u00a0\u00a0<\/span><\/p>\n

The <\/span>5<\/b>-rated stocks are the following:<\/span>
\n<\/span>
\n<\/span>Agnico Eagle Mines<\/span> (<\/span>AEM<\/b>) is a gold producer with mining operations in Canada, Mexico and Finland, and exploration activities in Canada, Europe, Latin America and the United States. Agnico Eagle operates through two broader segments. Northern Business include the LaRonde and Goldex mines and Canadian Malartic mine, all based in Quebec, as well as the Meadowbank and Meliadine mines in Nunavut and the Kittila mine in Lapland in northern Finland. Southern Business consists of the Pinos Altos mine and Creston Mascota satellite mine, both in Chihuahua in northern Mexico as well as the La India mine in Sonora in northern Mexico. The company was founded in 1972 and headquartered in Toronto, Ontario, Canada.<\/span><\/p>\n

Barrick Mining Corporation<\/span> (<\/span>B<\/b>) is a leading global gold and copper producer, focusing on developing and operating long-life, Tier One assets in prolific mining regions across the Americas, Africa, the Middle East, and Asia. Barrick Mining Corporation was founded in 1983 and is based in Toronto, Canada.<\/span><\/p>\n

Alamos Gold Corporation<\/span> (<\/span>AGI<\/b>) is a Canadian-based intermediate-sized gold producer with diversified production from three operating mines in North America. This includes the Young-Davidson mine in northern Ontario, Canada and the Mulatos and El Chanate mines in Sonora State, Mexico. It was founded in 2003 with headquarters in Toronto.<\/span><\/p>\n

This table compares all eight companies\u2019 stocks with more than $10 billion market cap.\u00a0<\/span><\/p>\n\n\n\n\n\n\n\n\n\n\n\n
Ticker<\/b><\/td>\n Company Name<\/b><\/td>\nLast Close<\/b><\/td>\nMarket Cap ($ Bil.)<\/b><\/td>\nVE Rating<\/b><\/td>\nP\/E Ratio<\/b><\/td>\n1 -Yr. Price Change<\/b><\/td>\nEarnings Growth<\/b><\/td>\n<\/tr>\n
AEM<\/span><\/td>\nAGNICO EAGLE<\/span><\/td>\n152.82<\/span><\/td>\n76.8<\/span><\/td>\n5<\/b><\/td>\n25.0<\/span><\/td>\n94%<\/span><\/td>\n9%<\/span><\/td>\n<\/tr>\n
AGI<\/span><\/td>\nALAMOS GOLD INC<\/span><\/td>\n33.12<\/span><\/td>\n13.9<\/span><\/td>\n5<\/b><\/td>\n33.3<\/span><\/td>\n77%<\/span><\/td>\n82%<\/b><\/td>\n<\/tr>\n
B<\/span><\/td>\nBARRICK MINING<\/span><\/td>\n29.48<\/span><\/td>\n50.3<\/span><\/td>\n5<\/b><\/td>\n16.7<\/span><\/td>\n50%<\/span><\/td>\n36%<\/span><\/td>\n<\/tr>\n
AU<\/span><\/td>\nANGLOGOLD ASHNT<\/span><\/td>\n64.6<\/span><\/td>\n27.1<\/span><\/td>\n4<\/span><\/td>\n16.7<\/span><\/td>\n135%<\/span><\/td>\n-2%<\/span><\/td>\n<\/tr>\n
FNV<\/span><\/td>\nFRANCO NV CP<\/span><\/td>\n198.73<\/span><\/td>\n38.3<\/span><\/td>\n4<\/span><\/td>\n50.0<\/span><\/td>\n64%<\/span><\/td>\n21%<\/span><\/td>\n<\/tr>\n
NEM<\/span><\/td>\nNEWMONT CORP<\/span><\/td>\n78.43<\/span><\/td>\n86.2<\/b><\/td>\n4<\/span><\/td>\n14.3<\/b><\/td>\n53%<\/span><\/td>\n-8%<\/span><\/td>\n<\/tr>\n
RGLD<\/span><\/td>\nROYAL GOLD INC<\/span><\/td>\n186.18<\/span><\/td>\n12.3<\/span><\/td>\n4<\/span><\/td>\n25.0<\/span><\/td>\n37%<\/span><\/td>\n12%<\/span><\/td>\n<\/tr>\n
KGC<\/span><\/td>\nKINROSS GOLD<\/span><\/td>\n22.94<\/span><\/td>\n28.0<\/span><\/td>\n3<\/span><\/td>\n20.0<\/span><\/td>\n154%<\/b><\/td>\n-4%<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Current ValuEngine reports on all covered stocks and ETFS can be viewed<\/span> HERE<\/b><\/a><\/p>\n

Of the three profiled stocks rated Strong Buy, all three have positive earnings growth with Alamos Gold (<\/span>AGI<\/b>) placing highest followed by Barrick Gold (<\/span>B).\u00a0 <\/b>The latter has a more reasonable P\/E ratio at 16.7, just more than half that of the SPDR S&P 500 Index ETF (<\/span>SPY).\u00a0 <\/b>Barrick also has the second lowest 1-year price change, indicating that there is still room to run in terms of potential price gains relative to its peers.\u00a0 Market cap leader Newmont Corp, in contrast, has the lowest P\/E ratio but negative earnings growth.\u00a0 It is still rated a buy. But at this time <\/span>B <\/b>merits further consideration and research given its overall competitiveness in all four categories.\u00a0\u00a0<\/span><\/p>\n

However, investing in just one or a handful of gold mining stocks, even industry leaders such as Barrick and Agnico, can be more risky than investing with an ETF that holds these stocks along with many other gold mining stocks.\u00a0 ETFdb.com, the VettaFi ETF database, is our source for data on gold mining ETFs and gold bullion exchange-traded vehicles (ETVs).\u00a0 There are 9 non-leveraged ETFs included in the database.\u00a0 Most of them are rather small so we limited this analysis to the five largest.\u00a0\u00a0<\/span><\/p>\n

About these ETFs \u2013<\/span><\/p>\n

Van Eck Global Gold Miners ETF (<\/span>GDX<\/b>) <\/span>– Tracks the overall performance of the largest and most liquid companies involved in the global gold mining industry. It is by far the largest and oldest of the gold mining ETFs and is well-diversified with 63 holdings.<\/span><\/p>\n

Van Eck Junior Gold Miners ETF (<\/span>GDXJ<\/b>) – Provides exposure to smaller-capitalization companies involved in gold and silver mining.\u00a0 \u00a0Because junior miners are smaller, earlier-stage companies, they often have a greater sensitivity to gold price movements, which means greater potential upside, but also higher volatility and risk compared to larger, more established companies.<\/span><\/p>\n

SPDR S&P Metals & Mining ETF<\/span> (<\/span>XME) – <\/b>Although XME includes the major gold stocks, it also represents the broader U.S. metals and mining industry, including companies in the steel, coal, and copper sub-industries.\u00a0 It uses a modified equal-weighting methodology.\u00a0 It has the lowest expense ratio of this group and is the only one to pay quarterly, not annual, dividends.\u00a0 On the other hand, it also holds the fewest stocks, has the lowest dividend yield and the lowest correlation to the price of gold.<\/span><\/p>\n

iShares MSCI Global Gold Miners ETF <\/span>(<\/span>RING<\/b>) – Invests in a global index of companies primarily engaged in the business of gold mining. It has a lower expense ratio and higher returns across the board to its most direct competitor, <\/span>GDX.<\/b><\/p>\n

Sprott Gold Miners ETF <\/span>\u00a0(<\/span>SGDM<\/b>) – Targets larger-sized gold companies, specifically those with stocks listed on Canadian and major U.S. exchanges.\u00a0 It uses a “smart-beta” approach, with a rules-based methodology that emphasizes companies with strong revenue growth, free cash flow yield, and low debt-to-equity.\u00a0In recent periods, the strategy has not outperformed the other major ETFs in this category.<\/span><\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n
Symbol<\/b><\/td>\nGDX<\/b><\/td>\nGDXJ<\/b><\/td>\nXME<\/b><\/td>\nRING<\/b><\/td>\nSGDM<\/b><\/td>\nSPLG<\/b><\/td>\n<\/tr>\n
Name<\/span><\/td>\nVanEck Gold Miners ETF<\/span><\/td>\nVanEck Junior Gold Miners ETF<\/span><\/td>\nSPDR S&P Metals & Mining ETF<\/span><\/td>\niShares MSCI Global Gold Miners ETF<\/span><\/td>\nSprott Gold Miners ETF<\/span><\/td>\nSPDR S&P 500 Index ETF<\/span><\/td>\n<\/tr>\n
Assets ($ Bil.)<\/span><\/td>\n19.6<\/b><\/td>\n7.0<\/span><\/td>\n2.3<\/span><\/td>\n2.0<\/span><\/td>\n0.5<\/span><\/td>\n86.5<\/span><\/td>\n<\/tr>\n
1 Month Returns<\/span><\/td>\n24.3%<\/span><\/td>\n28.9%<\/b><\/td>\n12.6%<\/span><\/td>\n25.6%<\/span><\/td>\n21.4%<\/span><\/td>\n2.3%<\/span><\/td>\n<\/tr>\n
YTD Price Change<\/span><\/td>\n92.3%<\/span><\/td>\n96.0%<\/span><\/td>\n44.1%<\/span><\/td>\n99.6%<\/b><\/td>\n97.4%<\/span><\/td>\n12.9%<\/span><\/td>\n<\/tr>\n
3 Year Returns<\/span><\/td>\n42.0%<\/span><\/td>\n43.8%<\/span><\/td>\n20.9%<\/span><\/td>\n47.7%<\/b><\/td>\n39.8%<\/span><\/td>\n18.7%<\/span><\/td>\n<\/tr>\n
5 Year Returns<\/span><\/td>\n10.8%<\/span><\/td>\n8.8%<\/span><\/td>\n27.9%<\/b><\/td>\n11.9%<\/span><\/td>\n10.1%<\/span><\/td>\n16.2%<\/span><\/td>\n<\/tr>\n
Div. Yield %<\/span><\/td>\n0.6%<\/span><\/td>\n1.4%<\/b><\/td>\n0.4%<\/span><\/td>\n0.8%<\/span><\/td>\n0.5%<\/span><\/td>\n1.1%<\/span><\/td>\n<\/tr>\n
Exp. Ratio<\/span><\/td>\n0.51%<\/span><\/td>\n0.51%<\/span><\/td>\n0.35%<\/span><\/td>\n0.39%<\/b><\/td>\n0.50%<\/span><\/td>\n0.02%<\/span><\/td>\n<\/tr>\n
# of Holdings<\/span><\/td>\n63<\/span><\/td>\n84<\/b><\/td>\n30<\/span><\/td>\n43<\/span><\/td>\n39<\/span><\/td>\n500<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Current ValuEngine reports on all covered stocks and ETFS can be viewed<\/span> HERE<\/b><\/a><\/p>\n

This chart compares the data for these five mining company ETFs. SPDR S&P 500 Index ETF (<\/span>SPLG<\/b>) is included for benchmarking purposes. As most of the underlying companies tend to go up and down with the price of gold, albeit not every day, these ETFs tend to outperform when gold is outperforming stocks. All five have substantially\u00a0 outperformed <\/span>SPLG<\/b> for the 1-month, year-to-date and three-year periods.\u00a0 The S&P 500 Index outperformed 4 of the 5 ETFs\u00a0 but underperformed <\/span>XME<\/b>.\u00a0 As mentioned, <\/span>XME <\/b>holds stocks of precious metal mining companies in addition to industrial metals miners.\u00a0 Accordingly, it will not track the price of gold as closely as the other four ETFs that have \u201cgold\u201d rather than \u201cmetals & mining.”\u00a0 2021 saw a post-pandemic sell-off in gold, explaining why the gold miners’ ETFs underperformed <\/span>XME <\/b>for the five-year period.\u00a0 The demand for industrial metals rose in 2021 along with homebuilders and the need to attack supply chain issues.\u00a0<\/span><\/p>\n

GDX <\/b>is more of a pure play on the stocks of gold mining companies.\u00a0 It is also by far the most frequently traded of the five ETFs. \u00a0 For those that are not frequent traders, iShares MSCI Global Gold Miners ETFs (<\/span>RING<\/b>) might be worth a look.\u00a0 In every period examined on the table, <\/span>RING <\/b>outperformed <\/span>GDX<\/b> with a significantly lower expense ratio. Constraining expenses is an important component in wealth building.<\/span><\/p>\n

How do ETFs holding portfolios of gold mining stocks differ from holding \u201cgold ETFs?\u201d\u00a0 Let\u2019s start with the basics. \u201cGold ETFs\u201d are not Exchange Traded Funds (ETFs) at all because there is no actual mutual fund involved.\u00a0 They are actually exchange-traded trusts known as \u201cgrantor trusts.\u201d\u00a0 This has tax implications as the IRS regards the grantor trust as a pass-through structure that is taxed as if the underlying security was being taxed.\u00a0 Presently, the IRS classifies gold as a collectible which has a different tax schedule than capital gains from registered securities. Nevertheless, the term Gold ETF has garnered public acceptance because the creation and redemption mechanism that is used has become known as \u201cthe ETF wrapper.\u201d\u00a0 For the sake of accuracy some prefer the term <\/span>ETV<\/b>s (Exchange-Traded Vehicles). Unfortunately, since the term \u201cgold ETFs\u201d is a misnomer that has become so widely used, we\u2019ll use it with quotation marks in this article.\u00a0 By definition the investment objective, as printed in the prospectus of a gold ETF, is for the shares to reflect the performance of the price of gold bullion, less expenses.<\/span><\/p>\n

These are the five largest \u201cGold ETFs\u201d in terms of Assets Under Management \u2013<\/span><\/p>\n

SPDR Gold Shares <\/span>(<\/span>GLD<\/b>)<\/span> is the largest and most widely held gold ETF in the world. Its prospectus specifies that shares must be backed by fully allocated gold bullion in vaults at all times. The trust’s gold is fully allocated at the end of each business day. An allocated account means the trust owns specifically identified gold bars. It was the first U.S. \u201cgold-backed ETF\u201d and remains the standard for investors seeking direct exposure to the gold market. The trust’s sole asset is physical gold bullion, stored in secure vaults in undisclosed locations.<\/span><\/p>\n

iShares Gold Trust<\/span> (<\/span>IAU<\/b>) – Like <\/span>GLD<\/b>, <\/span>IAU <\/b>is designed to track the spot price of gold by holding fully allocated\u00a0 physical bullion in vaults located in New York and London.\u00a0 Its expense ratio of 0.25% is much lower than the 0.40% charged by <\/span>GLD.\u00a0 <\/b>In all other ways, <\/span>IAU <\/b>is a virtual replica.<\/span><\/p>\n

SPDR Gold MiniShares Trust<\/span> (<\/span>GLDM<\/b>) – The main differences between SPDR Gold Shares ETF (<\/span>GLD<\/b>) and SPDR Gold MiniShares Trust (<\/span>GLDM<\/b>) are their share price and expense ratios, with <\/span>GLDM<\/b> offering a lower price per share and a significantly lower expense ratio as compared to <\/span>GLD<\/b>‘s 0.40% expense ratio.\u00a0 The price-per-share was set proportionally lower to accommodate the perceived needs of retail investors. Otherwise, the specifications for both are identical. As with <\/span>GLD, <\/b>The trust’s sole asset is physical gold bullion, stored in secure vaults in undisclosed locations. The expense ratio for the trust has continually been revised downward in order to remain the lowest price competitor. After launching at 0.20%, the expense ratio is now at 0.09% following the launch of <\/span>IAUM <\/b>by BlackRock.\u00a0\u00a0<\/span><\/p>\n

Abrdn Physical Gold Shares ETF<\/span> (<\/span>SGOL<\/b>) – is backed by physical gold stored in vaults in Zurich, Switzerland, and London. It aims to provide a cost-effective and convenient way for investors to gain exposure to gold prices<\/span>.\u00a0 <\/b>The trust prioritizes using gold that meets the London Bullion Market Association’s (LBMA) “Responsible Gold Guidance.”\u00a0 This differentiation might have been made by ETF sponsor Aberdeen, a Scotland-based company, to implicitly imply to some investors a higher standard than that used by State Street and BlackRock to assure the trust is fully bullion-based.\u00a0 At launch time, <\/span>SGOL<\/b> had the lowest fee among \u201cGold ETFs\u201d of 0.17%.\u00a0 <\/span>GLDM <\/b>had been trading at 0.10% entering 2025 but was lowered to 0.09% to regain at least a tie for lowest-cost gold bullion exposure.\u00a0\u00a0<\/span><\/p>\n

iShares Gold Trust Micro (<\/span>IAUM<\/b>)<\/span> – is designed by BlackRock to give investors exposure to the daily price movements of gold bullion at a minimal expense. Its expense ratio of just 0.09%, lowest at the time of its mid-2021 launch, is now tied with <\/span>GLDM<\/b> for the lowest among physically-backed gold ETFs.\u00a0\u00a0<\/span><\/p>\n

Current ValuEngine reports on all covered stocks and ETFS can be viewed<\/span> HERE<\/b><\/a><\/p>\n

Here is the comparative table for analysis.\u00a0\u00a0<\/span><\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
Ticker \/ Topic<\/span><\/td>\nGLD<\/b><\/td>\nIAU<\/b><\/td>\nSGOL<\/b><\/td>\nGLDM<\/b><\/td>\nIAUM<\/b><\/td>\n<\/tr>\n
Name<\/span><\/td>\nSPDR Gold Shares<\/span><\/td>\niShares Gold Trust<\/span><\/td>\nabrdn <\/span>Physical <\/b>Gold Shares ETF<\/span><\/td>\nSPDR Gold Minishares Trust of beneficial interest<\/span><\/td>\niShares Gold Trust Micro ETF of Beneficial Interest<\/span><\/td>\n<\/tr>\n
Share Price<\/span><\/td>\n$238.68<\/span><\/td>\n$48.80<\/span><\/td>\n$24.66<\/span><\/td>\n$51.19<\/span><\/td>\n$25.77<\/span><\/td>\n<\/tr>\n
Assets($Bil)<\/span><\/td>\n113.7<\/span><\/td>\n54.2<\/span><\/td>\n5.8<\/span><\/td>\n19.9<\/span><\/td>\n4.1<\/span><\/td>\n<\/tr>\n
Avg. Daily Volume<\/span><\/td>\n \u00a0 \u00a0 \u00a0 \u00a0 10,066,847\u00a0<\/span><\/td>\n \u00a0 \u00a0 \u00a0 \u00a0 6,615,103\u00a0<\/span><\/td>\n \u00a0 \u00a0 \u00a0 \u00a0 4,110,711\u00a0<\/span><\/td>\n \u00a0 \u00a0 \u00a0 \u00a0 3,551,387\u00a0<\/span><\/td>\n \u00a0 \u00a0 \u00a0 \u00a0 2,641,436\u00a0<\/span><\/td>\n<\/tr>\n
1 Month Returns<\/span><\/td>\n8.71%<\/span><\/td>\n8.72%<\/span><\/td>\n8.73%<\/span><\/td>\n8.73%<\/span><\/td>\n8.74%<\/span><\/td>\n<\/tr>\n
YTD Price Change<\/b><\/td>\n38.53%<\/span><\/td>\n38.72%<\/span><\/td>\n38.72%<\/span><\/td>\n38.80%<\/span><\/td>\n38.86%<\/span><\/td>\n<\/tr>\n
3 Year Returns<\/b><\/td>\n28.03%<\/span><\/td>\n28.22%<\/span><\/td>\n28.31%<\/span><\/td>\n28.42%<\/span><\/td>\n28.47%<\/span><\/td>\n<\/tr>\n
5 Year Returns<\/b><\/td>\n12.95%<\/span><\/td>\n13.11%<\/span><\/td>\n13.21%<\/span><\/td>\n13.28%<\/span><\/td>\nN\/A<\/span><\/td>\n<\/tr>\n
Expense Ratio<\/span><\/td>\n0.40%<\/span><\/td>\n0.25%<\/span><\/td>\n0.17%<\/span><\/td>\n0.09%<\/b><\/td>\n0.09%<\/b><\/td>\n<\/tr>\n
Dividend Yield %<\/span><\/td>\n0.00%<\/span><\/td>\n0.00%<\/span><\/td>\n0.00%<\/span><\/td>\n0.00%<\/span><\/td>\n0.00%<\/span><\/td>\n<\/tr>\n
Issuer<\/span><\/td>\nState Street<\/span><\/td>\nBlackRock<\/span><\/td>\nAbrdn Plc<\/span><\/td>\nState Street<\/span><\/td>\nBlackRock<\/span><\/td>\n<\/tr>\n
ST Cap Gains Tax\u00a0 Rate (implied)<\/b><\/td>\n40%<\/span><\/td>\n40%<\/span><\/td>\n40%<\/span><\/td>\n40%<\/span><\/td>\n40%<\/span><\/td>\n<\/tr>\n
LT Cap Gains Tax\u00a0 Rate (implied)<\/b><\/td>\n28%<\/span><\/td>\n28%<\/span><\/td>\n28%<\/span><\/td>\n28%<\/span><\/td>\n28%<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Current ValuEngine reports on all covered stocks and ETFS can be viewed<\/span> HERE<\/b><\/a><\/p>\n

Please note the effect on the returns from higher to lower fees.\u00a0 <\/span>IAUM <\/b>has the highest return for all periods except the 5-year since it hasn\u2019t been in existence for a full five years yet.\u00a0 This is directly attributable to the fact that <\/span>IAUM <\/b>was launched at the lowest fee.\u00a0 The differential in annualized returns in the three year period is 43 basis points.\u00a0 The translation of fee differential into return differential affects investment principal increasingly with the passage of time.\u00a0 We\u2019ve heard some experts claim that the lower trading volumes of <\/span>GLDM <\/b>and <\/span>IAUM <\/b>are only fit for retail products.\u00a0 Although 60% lower, a daily trading volume surpassing 4 million is enough to keep the spreads at a penny or two for almost all transactions.\u00a0 We conclude that for a trade of less than a billion dollars or a duration less than three months, <\/span>GLDM<\/b> trades with enough liquidity to easily meet the needs of most institutional and virtually all retail investors. As we have pointed out in prior columns about <\/span>SPLG <\/b>and <\/span>SPY<\/b>, why should investors pay more for the same exposures?\u00a0 As we have detailed, all of the top five ETFs are fully backed by gold bullion with expense ratios being the one key differentiator.<\/span><\/p>\n

Financial Advisory Services based on ValuEngine\u2019s research models: <\/b>www.ValuEngineCapital.com<\/b><\/a><\/h5>\n

A key component of wealth management is managing costs. Therefore, we recommend that readers who have made the decision to buy new gold shares strongly consider purchasing <\/span>GLDM<\/b> in lieu of <\/span>GLD <\/b>after conducting their own due diligence.\u00a0\u00a0<\/span><\/p>\n

As to the larger question posed at the outset as whether it is too late to add gold exposure to the portfolio given the fact that it is trading at an all-time high, our analytics can only say that the nearly 100% of Gold Miners stocks being rated by our valuation model are overvalued in comparison to nearly 75% of stocks with more than $20 million in Market cap.\u00a0 Since there are less than 40 stocks in the first sample and more than 2,000 stocks in the second, that\u2019s probably not a statistically significant difference.\u00a0 It also implies the wrong driver since the price of gold miner stocks are driven by the price of gold. Since we would like these stocks to appreciate in the near term, that implies that the price of gold will have increased to provide that impetus.\u00a0 That said, since our proprietary models do not include commodities or currencies, we remain officially neutral on future gold prices.\u00a0<\/span><\/p>\n

_____________________________________________________________________<\/span><\/p>\n

By Herbert Blank<\/b><\/h5>\n
Senior Quantitative Analyst, ValuEngine Inc ( <\/b>www.ValuEngine.com<\/b><\/a> )<\/b><\/h5>\n
support@ValuEngine.com \u00a0 \u00a0 \u00a0 \u00a0 (321) 325-0519<\/b><\/h5>\n
All of the over 4,200 stocks, 15 sector groups, over 250 industries, and 700 ETFs have been updated on<\/b> www.ValuEngine.com<\/b><\/a><\/h5>\n
Financial Advisory Services based on ValuEngine research available through<\/b> ValuEngine Capital Management, LLC<\/b><\/a><\/h5>\n
FREE Two-Week Trial to all 6,000 plus equities and ETFs covered by ValuEngine<\/b> HERE<\/b><\/a><\/h5>\n
Subscribers log in <\/b>HERE<\/b><\/a><\/h5>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

This fact may surprise quite a few investors. During the period from January 1, 2000, through August 31, 2025, gold bullion delivered significantly higher returns than the S&P 500. Throw in last week where the S&P 500 Index rose 0.3% compared to 4% for GLD, the most-traded gold ETF, and gold\u2019s outperformance widens further. However, … Read more<\/a><\/p>\n","protected":false},"author":7,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[130,1,39],"tags":[2688,2694,2689,2696,2690,2695,2678,2697,2691,1982,2700,1880,1776,1777,2685,2686,1731,1774,2001,2699,2693,2687,1779,2582,1510,2698,2692,1778,2701,2602,2290,1659,63,1992],"_links":{"self":[{"href":"http:\/\/blog.valuengine.com\/index.php\/wp-json\/wp\/v2\/posts\/3574"}],"collection":[{"href":"http:\/\/blog.valuengine.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/blog.valuengine.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/blog.valuengine.com\/index.php\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"http:\/\/blog.valuengine.com\/index.php\/wp-json\/wp\/v2\/comments?post=3574"}],"version-history":[{"count":6,"href":"http:\/\/blog.valuengine.com\/index.php\/wp-json\/wp\/v2\/posts\/3574\/revisions"}],"predecessor-version":[{"id":3580,"href":"http:\/\/blog.valuengine.com\/index.php\/wp-json\/wp\/v2\/posts\/3574\/revisions\/3580"}],"wp:attachment":[{"href":"http:\/\/blog.valuengine.com\/index.php\/wp-json\/wp\/v2\/media?parent=3574"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/blog.valuengine.com\/index.php\/wp-json\/wp\/v2\/categories?post=3574"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/blog.valuengine.com\/index.php\/wp-json\/wp\/v2\/tags?post=3574"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}