Investing.com | Feb 08, 2024 08:06
Gold surged to $2,100 in December, surpassing highs set during the pandemic, and closed 2023 with a remarkable +13% gain, marking its best performance since 2020.
As of now, the yellow metal appears to be taking a brief pause to gather momentum before aiming for new highs in 2024.
Factors in favor of gold include:
Historically, gold prices tend to perform best between November and the end of February, with three of the four best monthly results typically occurring during this period, while March is often the least favorable month.
In the chart above, we can see how the yellow metal has failed to break higher every time it comes across a key resistance.
Below, you can see its uptrend with more longer-term perspective.
There are several ways to invest in gold. Listed below are the most popular ways investors tend to gain exposure to the yellow metal:
In the case of ETFs, they stand out as the optimal choice, featuring low economic costs, minimal time and effort requirements, and a guarantee to replicate gold's price moves.
A gold exchange-traded fund (ETF) represents a fund comprising a single asset: gold. This ETF trades on a stock exchange like any other stock, deriving its value from holding underlying assets focused on the precious metal.
This is the largest gold ETF with over 57 billion under management. It was launched in November 2004 and has a fee of 0.40%. Its return over the last 5 years is 9.60%.
This ETF has delivered a 12% performance over the past year. The expense ratio stands at 0.09%, and the fund does not provide an annual dividend yield. IAUM has accumulated $1.2 billion in assets under management since its inception on June 15, 2021.
This ETF has delivered a one-year performance of 12%, with an expense ratio of 0.10%. The ETF does not provide an annual dividend yield. Currently, GLDM manages assets worth $6.1 billion, and it was launched on June 15, 2018, by the World Gold Council.
This ETF has delivered a 12% performance over the past year. It boasts an expense ratio of 0.18% and does not offer an annual dividend yield. The ETF has accumulated $607 million in assets under management since its inception on June 27, 2018. It is issued by Goldman Sachs.
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Disclaimer:The author does not own any of these shares. This content, which is prepared for purely educational purposes, cannot be considered as investment advice.
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