Close X Cookies are necessary for the proper functioning of 24hGold.com. By continuing your navigation on our website, you are accepting the use of cookies.
To learn more about cookies ...
EnglishFrench

If You Own Silver, Do You Really Need Mining Stocks?

IMG Auteur
Published : January 25th, 2013
242 words - Reading time : less than a minute
( 0 vote, 0/5 )
Print article
  Article Comments Comment this article Rating All Articles  
0
Send
0
comment
Our Newsletter...
Category : GoldWire

[Some thoughts about the relative merits of silver bullion and mining stocks in an investment portfolio.]

Though I still own a fair amount of gold and silver mining stocks, like many other investors, I’ve fallen out of love with them in recent years for reasons that should be obvious in the charts below.

More importantly, with the remarkable performance of silver over the last four years and again here in 2012, I’m starting to wonder whether investors need mining stocks at all.

24hGold - If You Own Silver, D...

With silver, investors have seen some remarkable gains with some equally remarkable volatility but, lately, with mining stocks, about all investors have been getting is the volatility.

It wasn’t always like this, but, as shown below using the iShares Silver Trust (SLV), Market Vectors Gold Miners ETF (GDX), and Junior Gold Miners Index (GDXJ), it’s been a dismal stretch for the mining shares and, even when they did see big gains in 2009 and 2010, they still underperformed relative to silver.

In fact, after seeing similar size losses in 2007 and 2008, from 2009 through 2012, the metal’s 180 percent gain has trounced the 40 percent increase for large cap mining stocks in the GDX ETF.

It’s even worse for the junior miners ETF since, with only three full years of data to compare, silver’s 78 percent gain over this period is far better than the 10 percent loss for GDXJ.

[To continue reading this article, please visit Seeking Alpha.\


Companies Mentionned : Bullion |
<< Previous article
Rate : Average :0 (0 vote)
>> Next article
Tim Iacono is the founder of Iacono Research, a subscription service providing market commentary and investment advisory services specializing in commodity based investing.
WebsiteSubscribe to his services
Latest comment posted for this article
Be the first to comment
Add your comment
Top articles
World PM Newsflow
ALL
GOLD
SILVER
PGM & DIAMONDS
OIL & GAS
OTHER METALS
Mining Company News
Alumina Ltd.AWC.AX
Noranda Announces Initial Intercontinental Alumina Shipment as Part of Multi-Shipment Arrangement with Chinese Aluminum Smelter
AU$ 1.31-2.96%Trend Power :
Corporate news
VestasVWS.CO
Vestas Wind Systems (VWDRY): An Off-the-Radar Potential W...
€UR 355.50-0.39%Trend Power :
Corporate news
Sandfire(Ag-Au-Cu)SFR.AX
Change in substantial holding
AU$ 6.06-0.82%Trend Power :
Corporate news
Troy Res.(Ag-Au-Cu)TRY.AX
Mineral Resources and Ore Reserves Update
AU$ 0.28-4.18%Trend Power :
Corporate news
Dart MiningDTM.AX
Change of Directors Interest Notice 28th August 2015
AU$ 0.01+0.00%Trend Power :
Corporate news
Dart MiningDTM.AX
Change in substantial holding 25th August 2015
AU$ 0.01+0.00%Trend Power :
Corporate news
Dart MiningDTM.AX
Change of Directors Interest Notice 24th August 2015
AU$ 0.01+0.00%Trend Power :
Corporate news
Troy Res.(Ag-Au-Cu)TRY.AX
Appendix 4E - Preliminary Final Report - 30 June 2015
AU$ 0.28-4.18%Trend Power :
Corporate news
Unity Mining(Au)UML.AX
Results of General Meeting
AU$ 0.02+0.00%Trend Power :
Corporate news
Triton GoldTON.AX
28 08 2015 - Jumbo Flake Graphite at Nicanda Hill
AU$ 0.26-1.92%Trend Power :
Corporate news
Comments closed