The iShares MSCI Global Silver and Metals Miners ETF (SLVP) and VanEck Gold Miners ETF (GDX) offer exposure to precious metals miners, with SLVP focusing on silver and metals companies, while GDX holds a broader basket of gold miners. Both funds differ in cost, performance, risk, and portfolio makeup, providing investors with options based on their objectives.
SLVP has a higher 1-year return of 158.6% compared to GDX’s 132.9%, while GDX has a larger assets under management (AUM) of $27.01 billion compared to SLVP’s $816.5 million. SLVP has a slightly higher expense ratio of 0.39% compared to GDX’s 0.51%. Additionally, SLVP’s dividend yield is 0.4%, while GDX’s is 0.5%.
GDX is designed for investors seeking exposure to global gold mining companies, with a broad index of 55 holdings, including Agnico Eagle Mines Ltd, Newmont Corp, and Barrick Mining Corp. SLVP, on the other hand, holds 41 companies and leans heavily into silver and diversified metals miners. Both funds provide investors with a way to access the precious metals market through diversified portfolios.
The VanEck Gold Miners ETF offers broader exposure and less volatility than the iShares Silver and Metals Miners ETF, with a beta of 0.87, indicating lower volatility compared to the market. GDX’s larger AUM and historical performance make it a stable option for investors looking for exposure to the precious metals market. Investing in gold-related investments could serve as a hedge against market volatility and economic uncertainty.
Silver tends to be more volatile due to its industrial uses, while GDX leads SLVP in total returns over a five-year period despite its slightly higher expense ratio. Both ETFs offer international exposure, diversifying portfolios, but also come with business-related risks and expenses. GDX provides more stability, robust assets, and a slight long-term performance edge over SLVP for the average investor seeking precious metals exposure.
Read more at Yahoo Finance: GDX Offers Broader Exposure and Less Volatility Than SLVP