Gold has continued to hover around the $1,800 U.S. level for some time, suggesting that investors believe this commodity may have run too far too fast, reaching all-time highs last year.
However, I would suggest that gold continues to remain undervalued based on various metrics. Looking at the amount of stimulus that is being pumped into the economy from central banks (particularly) in the U.S., gold should likely be trading much higher than it is today.
However, as we saw with the last financial crisis, we could see much more depreciation on the horizon.
This ETF is well-diversified and provides a range of gold miners across the spectrum, from mega cap to small cap. All my favourite gold miners are included in this ETF, as well as a few high-quality silver producers, providing nice diversification and growth potential should a bull market in precious metals play out.