Best returns in August came from ETFs loved by gold bugs

Best returns in August came from ETFs loved by gold bugs
Very low yields on bonds sent investors in search of alternative safe havens.
AUG 30, 2019

Investing in gold and silver miners paid off this month for investors in equity exchange-traded funds. BlackRock Inc.'s iShares MSCI Global Gold Miners ETF, known as RING, has returned almost 14% in August, more than any other unleveraged stock fund in the U.S., data compiled by Bloomberg show. [Recommended video: Young professionals see lots of opportunity to reinvent the advice experience] ​ Close behind, with gains approaching 13%, are two funds of silver miners, with strategies tracking ore extractors accounting for eight of the top 10 performers.https://www.investmentnews.com/assets/docs src="/wp-content/uploads2019/08/CI120528830.PNG"

With bond yields increasingly depressed, many investors that are taking off risk are heading into alternatives, like commodities. Just this week, gold prices rose to a six-year high and silver touched its strongest in two years, as concerns that the U.S.-China trade war is weighing on global economic growth boosted the appeal of safe havens. Gold rallied nearly 7% in August, and silver climbed 13%. [More: The upside of betting on inflation]​ "Gold's current price level hints at a potentially longer, sustained rally," Joe Foster, portfolio manager and strategist at VanEck, wrote in a note this week. "We believe this, along with the steps gold miners have taken to reduce costs and capital expenditures, make gold stocks an attractive opportunity." [More: Low-cost gold ETFs introduce new fiduciary challenge]

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