Precious Metals ETF List – 5 Best Funds Experts Choose!
ETFs or exchange-traded funds are defined as investment funds that are traded on a stock exchange, but involve commodities. Precious metals ETFs are highly attractive as investments since they can be relatively low cost, are tax efficient, and retain value over longer periods of time. When conventional stock markets are highly volatile, precious metals ETFs provide a portfolio of securities that will deliver diversification and protection. To optimize your investment research choose the ETF trading house with the lowest expenses and one that has a high correlation in regards to the price of precious metals. You also need to determine what gold mutual funds are best for your portfolio or if you should invest in other precious metals. Listed are some of the best funds for your consideration.
List of Precious Metals ETFS
U.S. Global Investors Gold and Precious Metals
One very good fund to invest in is United States (U.S.) Global Investors Gold and Precious Metals that seeks to invest in companies that specifically trade in precious metals bullion and has an annualized return rate of over 25 percent. You do need to invest a minimum of $5,000.
First Eagle Gold A
First Eagle Gold A uses gold ETF and invests primarily in companies operating in the gold industry. The rate of return for this fund is around 25 percent.
OCM Gold
OCM Gold takes gold bullion ETF and invests in mining companies that are located both domestically and in foreign countries. This fund purchases common stocks and also invests in precious metals producers.
Fidelity Select Gold
Fidelity Select Gold invests basically in gold bullion and coins. It also uses precious metals ETF as trading stock through a wholly owned subsidiary and has a three year return of over 32 percent.
GAMCO Gold AAA
GAMCO Gold AAA seeks precious metals ETF and invests these in worldwide companies that involve in gold related activities. Many of the funds are used to purchase overseas securities that have a rate of return of about 23 percent. You do need to have a minimum of $1,000 in order use this investment vehicle optimally.
Investing in ETF or exchange traded funds via precious metals can be a source of a safe and secure investment when the conventional stock market is so highly unstable. Precious metals certificates and metal mutual funds generate high returns to the investor on a consistent basis. Small investment in precious metals ETFs can provide a hedge against inflation and it is advisable to choose those ETF houses that will bring you your best return and provide a safety net for your future.