Gold Shares Cheaper than Bullion, say Experts

Gold had a solid year in 2017, despite other asset classes stealing the headlines. Experts believe gold mining shares are undervalued compared with physical gold

David Brenchley 15 January, 2018 | 11:27AM
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Gold bullion prices performed well in 2017, but gold miners offer value

Gold took a backseat in 2017, as risk assets like equities soared and bitcoin emerged. But gold has been quietly doing its job for investors in recent years - as an insurance measure for portfolios.

The price of the bullion appreciated 13% in 2017 to trade above $1,300. It’s up more than 25% from its latest trough at the back-end of 2015, but has traded as high as $1,900 in recent years.

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The information contained within is for educational and informational purposes ONLY. It is not intended nor should it be considered an invitation or inducement to buy or sell a security or securities noted within nor should it be viewed as a communication intended to persuade or incite you to buy or sell security or securities noted within. Any commentary provided is the opinion of the author and should not be considered a personalised recommendation. The information contained within should not be a person's sole basis for making an investment decision. Please contact your financial professional before making an investment decision.

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Securities Mentioned in Article

Security NamePriceChange (%)Morningstar
Barrick Gold Corp24.23 CAD0.00
BlackRock Gold and General D Acc1,379.05 GBP0.59Rating
Centamin PLC98.12 GBP0.00
Franco-Nevada Corp178.93 CAD0.00
Fresnillo PLC929.44 GBP0.70
iShares Gold Producers ETF USD Acc14.84 USD0.94
L&G Gold Mining ETF32.69 USD-1.79
LF Ruffer Gold C Acc277.24 GBP3.53Rating
Newmont Corp57.91 USD0.00
Ninety One Global Gold I Acc £187.35 GBP0.05Rating
Smith & Williamson Global Gold & Res B70.09 GBP0.97Rating
VanEck Vectors™ Gold Miners ETF34.67 USD-1.55
VanEck Vectors™ Junior Gold Miners ETF37.73 USD-1.49

About Author

David Brenchley

David Brenchley  is a Reporter for