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
Gold & Silver Prices in

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
Coronado Res.(Au-Cu)CRD.V
Initiates Strategic Review of Assets
CA$ 0.30+0.00%Trend Power :
Corporate news
Global Minerals(Cu-Sb-Au)CTG.V
IIROC Trading Halt - CTG
CA$ 0.00-83.33%Trend Power :
Corporate news
Erdene(Au-Cu-Mo)ERD.TO
Erdene Announces Private Placement
CA$ 0.12+0.00%Trend Power :
Corporate news
Foran Mining(Ag-Au-Cu)FOM.V
Foran Announces Best Hole Drilled to Date in the Bigstone Copper Zone: 2.0% Cu over 105m, including 4.1% Cu over 20m
CA$ 0.36-24.47%Trend Power :
Corporate news
Beacon Minerals(Ag-Au-Cu)BCN.AX
Completion of Fourth Milling Campaign
AU$ 0.00+0.00%Trend Power :
Corporate news
Impact Minerals(Au-Ni-Ur)IPT.AX
High Grades of Rare but Potentially Economic PGM Elements Assayed at Broken Hill
AU$ 0.02+17.65%Trend Power :
Corporate news
Golden Arrow Res.(Cu-Au-Ag)GRG.V
Golden Arrow Comments on Recent Trading Activity
CA$ 0.35+2.94%Trend Power :
Corporate news
Icon EnergyICN.AX
Icon Energy Ltd Appendix 3E Daily Buy-back Notice
AU$ 0.06+0.00%Trend Power :
Corporate news
Panoramic Res.(Co-Cu-Ni)PAN.AX
More good hits at Savannah, mineralisation extended
AU$ 0.44+1.16%Trend Power :
Exploration and drilling
Titanium Corp(Oil-Ti)TIC.V
Titanium Corporation Reports Fiscal 2015 Second Quarter Results and Update on Progress
CA$ 0.85-5.56%Trend Power :
Corporate news
Comments closed
Subscribe to 24hGold’s daily market briefing
  • Prices and data of precious metals in 119 currencies and world mining companies
  • Daily analysis of the economy, markets and more
  • Free, daily and indispensable
Stay informed, subscribe now !
* Your email will never be shared.