Add Gold to Portfolio: 3 Options
- Gold's strong performance since 2024 has accelerated into 2025, recently hitting $3,500 per troy ounce before settling back. This surge prompts the question: is now the right time...
- While retail investors haven't fully embraced the gold rush, central banks worldwide are aggressively increasing their gold reserves.Even tho demand has decreased from peaks seen between 2022 and...
- Despite technical indicators suggesting a possible consolidation phase for gold prices, investors seeking exposure to gold without directly owning the physical metal have several options.
Ready to add gold to your portfolio? Discover the best ways to invest in gold,with central banks driving the market to new highs. since 2024, gold prices have soared, recently hitting $3,500 per troy ounce. Now is the time to explore strategic options, including gold miners and ETFs, to capitalize on this trend. Explore potentially undervalued gold miners, such as Newmont, which have seen significant revenue growth. Consider ETFs like IAU for easy gold ownership and the advantages of a strong secondary keyword inflation hedge via the Strategy Shares Gold-Hedged Bond ETF (GOLY). News Directory 3 brings you the latest on this market. Discover what’s next in the world of precious metals and how to stay ahead.
Navigating Gold Investing in a Central Bank-Driven Market
Updated May 30, 2025
Gold’s strong performance since 2024 has accelerated into 2025, recently hitting $3,500 per troy ounce before settling back. This surge prompts the question: is now the right time for gold investing? The answer, according to analysts, is likely yes, primarily due to the driving force behind this rally: central banks.
While retail investors haven’t fully embraced the gold rush, central banks worldwide are aggressively increasing their gold reserves.Even tho demand has decreased from peaks seen between 2022 and 2024, it remains historically elevated. Initially, this trend served as a hedge against inflation and geopolitical instability stemming from the Russia-Ukraine conflict. However, in 2025, central banks are strategically using gold as a hedge against a perhaps devalued U.S. dollar, anticipating a future where the dollar may no longer be the world’s primary reserve currency. Investors are seeking effective gold investing strategies.
Despite technical indicators suggesting a possible consolidation phase for gold prices, investors seeking exposure to gold without directly owning the physical metal have several options.
Gold Miners: An Undervalued Prospect
Despite rising gold prices, gold mining stocks have generally underperformed other basic materials stocks until recently. This is because gold miners require a certain price level to ensure profitable extraction. The VanEck Gold Miners ETF (GDX) reflects this, showing a 46.7% year-to-date increase. Newmont corporation, a major holding within GDX, stands out as one of the world’s largest gold miners. Newmont’s latest earnings report in April 2025 revealed a 24% year-over-year revenue increase, with earnings per share exceeding analysts’ estimates by 37%, marking a 127% year-over-year surge. Analysts are closely watching secondary keyword gold miners.
As of this writing,Newmont’s stock (NEM) is trading within 5% of analysts’ consensus price target,with some analysts raising their targets above $60 per share.
Gold ETFs: Owning Gold Like a Stock
Exchange Traded Funds (ETFs) provide another avenue for gold exposure.the iShares Gold Trust (IAU) offers investors the ability to own shares representing physical gold without the logistical challenges of storage and insurance.Selling shares of IAU provides easy access to your gold holdings. The fund’s performance closely mirrors gold’s price movements, up approximately 25% in 2025 as of May 28, with a low expense ratio of 0.25%.
Strategic Inflation Hedge: Gold-Hedged Bond ETF
For investors seeking an inflation hedge, the Strategy Shares Gold-Hedged Bond ETF (GOLY) warrants consideration. This fund tracks an index providing exposure to investment-grade corporate bonds while using near-term gold futures to hedge against inflation risk. The fund allocates approximately 90% to investment-grade corporate bonds and 10% to Treasury bills. Investors are looking for a secondary keyword inflation hedge.
“The idea behind this is we think we could make gold better by adding a yield, or we think we can make bonds better by making them inflation protected.”
while GOLY’s 2025 performance lags gold slightly, it has increased by 27.75% over the past 12 months and could rise further if inflation increases.
what’s next
Investors should monitor central bank policies and inflation data to gauge the future direction of gold prices and adjust their portfolios accordingly. Diversification remains key to managing risk in the volatile precious metals market.