ETFs
Gold Stocks and ETFs to Buy Now, According to the Pros
Macroeconomic uncertainties and growing geopolitical tensions have given a boost to gold – the classic “safe haven” asset. Gold prices rose above $2,400 an ounce in April as tensions in the Middle East intensified. Spot gold is currently trading up about 12% year to date. Kevin Teng, CEO of wealth manager Wrise Wealth Management Singapore, said he expects the precious metal to generate substantial returns in the long term. “Gold is certainly still in its early stages from a multi-year perspective, and investors may consider allocating a portion of their portfolio to gold due to its long-term potential,” he told CNBC Pro. Admitting that he would not “classify exactly [him]as a gold prospector”, Teng emphasized that “the importance of including gold in one’s portfolio cannot be underestimated in navigating these uncertain times in pursuit of wealth preservation and growth at long term “. Gold. “Investing in Barrick Gold is an attractive opportunity due to its strong earnings and revenue growth forecasts, with analysts suggesting a year-over-year increase of 14.3% for the current quarter, from 7.1% for the current fiscal year and a substantial increase of 43.3% for the next fiscal year,” he said. Other merits Teng points out include the fact that the company has consistently beaten estimates, which he sees as “an indication of strong operating performance and potentially favorable surprises for investors.” Radar is Newmont Corporation. “Newmont beat Wall Street estimates for first-quarter earnings on April 25, benefiting from strong production and higher sales as the world’s largest gold producer. This indeed presents a promising outlook for investors looking to capitalize on the bullish momentum in the gold sector,” said Teng Separately, Will McDonough, CEO of investment bank Corestone Capital, said he was betting on Coeur Mining and Hecla Mining, both of which which are listed on the New York Stock Exchange “I don’t think one stock is better than the other, but it’s good to have a balance of both because they allow exposure to geographic and diversity diversity. value chain,” he told CNBC Pro on April 25. McDonough is also bullish on Australian mining company BHP, calling it “a smart name to own just because it’s very diversified and heavily exposed to gold ETFs. Besides stocks, Teng recommended investors consider exchange-traded funds. (ETF) as a good way to gain exposure to the yellow metal. “ETFs are highly liquid and can be bought and sold daily in the open market, making it easy to adjust a portfolio’s gold exposure when needed,” he said. The flexibility makes ETFs an attractive option for investors during times of economic uncertainty while maintaining portfolio diversification. He added that ETFs with exposure to the mining sector were an “attractive option,” highlighting the VanEck Gold Miners ETF (GDX) and the VanEck Junior Gold Miners ETF (GDXJ). Both are up about 10% year to date. While Teng is bullish on specific stocks within the ETFs, he notes that they broadly capture “the most popular large- and mid-cap gold mining funds,” thus providing “relative balance in one’s gold portfolio “.