
TSE:XGD
This summary was created by AI, based on 7 opinions in the last 12 months.
The iShares S&P/TSX Global Gold Index ETF, symbol XGD-T, is currently being analyzed by several experts with mixed sentiments. While some believe that gold equities remain supported and could benefit from higher bullion prices, others are more cautious, suggesting that margins may be squeezed due to rising costs. The consensus leans towards seeing gold as a good diversifier in uncertain markets with some expecting further upside, but there are warnings about overvaluation and the cyclical nature of gold investments. Several experts recommend rebalancing portfolios, particularly if gold holdings exceed a certain allocation, advocating for a disciplined approach in managing risk. There's a general suggestion to also explore other sectors, particularly base metals, as potential alternatives in the current market environment.
He owns IAU instead. Gold itself, not gold miners. He buys gold as a diversifier opposite his equity, so he doesn't want more exposure to equities.
The large gold companies in Canada. Contrast to ZGD, which is BMO's equal weight gold global producers. Gold exposure is important to buffer inflationary shocks. Most portfolios are underexposed to asset classes that can provide returns when inflation starts.
Allan Tong’s Discover Picks Lastly, as I write, the price of gold is hitting new all-time highs. For those late to join the gold party and don’t know whether to buy Newmont, Barrick, Kirkland Lake or Franco-Nevada, this ETF includes all of them and then some. XGD charges a 0.55% MER. Read Top 4 BNN Stock Picks to Buy this Summer for our full analysis.
XGD vs. HUG and the impact of the November election XGD is the granddaddy of gold ETF wth top holdings being Newmont, Barrick and FNV, totalling 40%. Given this weighting, he prefers HEP. HUG holds the actual gold. He doesn't know how the US election will effect gold stocks, which is why people buy gold--a reaction to uncertainty.
HEP-T vs. XGD-T. HEP-T has a covered call overly to the gold stocks and generates extra yield. If you are bullish then you don’t want that covered call. If you are a yield seeker then it is a fine way to get exposure to gold.
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. In this current economic environment, 5i is comfortable with a 5%-10% gold position. Gold stocks will provide more upside potential, although bullion funds provide more insurance. Unlock Premium - Try 5i Free