IKN

Thy sin’s not accidental

Chart of the day is….

…gold vs the miners, via this chart that compares the gold ETF (GLD) with the gold miner ETF (GDX).

We’re continuing on this recent goldchart fixation because…well…because your author goes through obsessive phases about most things, not just charts. Ask the wife. Anyway, above we see that GDX has outperformed GLD since the dog days of early 2009, but not by a stunning amount either. This is probably because the three biggest holdings of the ETF, namely ABX, GG and NEM that combined cover nearly 39% of AUM at GDX, have been there-or-thereabouts with gold all this time, as the next chart shows:

So if you want leverage, the smaller your gold mining company the better. DYODD.

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