As investors look for ways to better manage risk and returns, one option could be through adding gold to a portfolio. The yellow metal has historically moved in the opposite direction of the stock market, which has continued to experience volatility heading into 2023.
The yellow metal’s technical may be telling us it’s time to buy, and its long-term fundamentals remain healthy and attractive.
There are numerous ways to invest in gold: through miners, explorers, physical gold, ETFs and more. In this upcoming webcast, U.S. Global Investors will take a deep dive into how to invest in gold, highlighting a fund strategy, plus royalty and streaming companies.
Investing involves risk, including the possible loss of principal. Shares of any ETF are bought and sold at market price (not NAV), may trade at a discount or premium to NAV and are not individually redeemed from the funds. Brokerage commissions will reduce returns. Because the funds concentrate their investments in specific industries, the funds may be subject to greater risks and fluctuations than a portfolio representing a broader range of industries. The funds are non-diversified, meaning they may concentrate more of their assets in a smaller number of issuers than diversified funds.
The funds invest in foreign securities which involve greater volatility and political, economic and currency risks and differences in accounting methods. These risks are greater for investments in emerging markets. The funds may invest in the securities of smaller-capitalization companies, which may be more volatile than funds that invest in larger, more established companies. The performance of the funds may diverge from that of the index. Because the funds may employ a representative sampling strategy and may also invest in securities that are not included in the index, the funds may experience tracking error to a greater extent than funds that seek to replicate an index. The funds are not actively managed and may be affected by a general decline in market segments related to the index.
Gold, precious metals, and precious minerals funds may be susceptible to adverse economic, political, or regulatory developments due to concentrating in a single theme. The prices of gold, precious metals, and precious minerals are subject to substantial price fluctuations over short periods of time and may be affected by unpredicted international monetary and political policies. We suggest investing no more than 5% to 10% of your portfolio in these sectors.
Fund holdings and allocations are subject to change at any time. View fund holdings for GOAU by visiting www.usglobaletfs.com.
Distributed by Quasar Distributors, LLC. U.S. Global Investors is the investment adviser to GOAU.