GDXJ VS GLTR
4 min read
By Ron Koren, ETF Insider

GDXJ VS GLTR

Exchange-Traded Funds (ETFs) have reshaped the investment landscape, providing investors with diversified exposure to various sectors and asset classes. In this article, we will conduct an extensive analysis of two prominent ETFs: GDXJ (VanEck Vectors Junior Gold Miners ETF) and GLTR (Aberdeen Standard Physical Precious Metals Basket ETF). By delving into their ETF tickers, full names, issuers, sectors, top holdings, capitalization, strategies, tracking methods, and exposure, we aim to offer a comprehensive comparison that empowers investors to make informed decisions.

GDXJ Vs GLTR: Overview

GDXJ and GLTR are distinct ETFs catering to different niches within the precious metals market. GDXJ focuses on junior gold mining companies, while GLTR offers exposure to a diversified basket of precious metals, including gold, silver, platinum, and palladium. This fundamental difference in investment approach results in varying risk profiles and potential returns, which we will dissect further in the subsequent sections.

GDXJ Vs GLTR: Sectors and Top Holdings

The GDXJ ETF is concentrated in junior gold mining stocks, with holdings in companies like Endeavour Mining, Pan American Silver, and Yamana Gold. In contrast, GLTR's holdings encompass a mix of physical precious metals, providing investors with a broader exposure to the metals market. Understanding the sectors and top holdings of these ETFs can aid investors in aligning their investment choices with their goals and risk tolerance.

GDXJ  overlap GDXJ VS GLTRGDXJ overlap GDXJ VS GLTR

GDXJ Vs GLTR: Capitalization and Strategy

GDXJ boasts a substantial asset under management (AUM), indicative of its popularity among investors looking to capitalize on the junior gold mining sector's potential. GLTR, on the other hand, employs a strategy of holding a diversified portfolio of physical precious metals to track the performance of the metals market. The contrasting capitalization and investment strategies of these ETFs present investors with varying opportunities and risks that demand careful consideration.

GDXJ Vs GLTR: Tracking and Exposure

The tracking mechanisms of GDXJ and GLTR differ significantly. GDXJ tracks an index of junior gold mining companies, aiming to mirror their collective performance. In contrast, GLTR holds physical precious metals, providing exposure to the intrinsic value fluctuations of gold, silver, platinum, and palladium. This divergence in tracking methodologies directly affects how these ETFs react to market movements, making it imperative for investors to understand the nuances to align with their investment objectives.

Conclusion

GDXJ and GLTR are distinct investment vehicles that cater to diverse strategies within the precious metals sector. To gain deeper insights into their holdings, correlations, overlaps, and other critical aspects, ETF Insider emerges as an invaluable tool. With its user-friendly application, ETF Insider empowers investors to explore these nuances and more, fostering a well-informed investment decision-making process.

Disclaimer: This article is intended for informational purposes only and does not provide investment advisory services.

Sources:

GLTR quote and analysis

Discover the top holdings, correlations, and overlaps of ETFs using our visualization tool.
Our app allows you to build and track your portfolio.
To learn more about the GLTR abrdn Physical Precious Metals Basket Shares ETF, access our dedicated page now.

Get started

FAQ

  • Why is GDXJ better than GLTR?

    GDXJ may be considered better than GLTR for some investors due to its specific focus, offering diversification.

  • Does GLTR beat GDXJ?

    GLTR's performance relative to GDXJ will vary over time, depending on market conditions.

  • Should I invest in GDXJ or GLTR?

    The choice between GDXJ and GLTR should align with your investment goals, risk tolerance, and desired exposure.

  • Are GDXJ and GLTR good investments?

    Both GDXJ and GLTR can be suitable investments depending on individual investment strategies, goals, and risk profiles.

  • What is the correlation between GDXJ and GLTR?

    The correlation between GDXJ and GLTR can vary over time, reflecting differences in performance.