GLDM VS GDX
Exchange-Traded Funds (ETFs) have transformed the landscape of modern investing by offering a diverse range of exposure across different sectors and asset classes. In this article, we will conduct a comprehensive comparison between two prominent ETFs: GLDM (SPDR Gold MiniShares Trust) and GDX (VanEck Vectors Gold Miners ETF). We will delve into key aspects such as ETF tickers, full names, issuers, sectors, top holdings, capitalization, strategy, tracking, and exposure.
GLDM VS GDX: Overview
GLDM and GDX are two distinct ETFs that provide exposure to the gold market through different avenues. While GLDM tracks the price of gold, GDX targets the gold mining sector. This fundamental difference in focus gives rise to varying levels of risk and return potential, which we will explore in greater detail in the subsequent sections.
GLDM VS GDX: Sectors and Top Holdings
The GLDM ETF is predominantly invested in physical gold, with its primary holding being gold bullion. In contrast, GDX is comprised of holdings in gold mining companies such as Newmont Corporation, Barrick Gold, and Franco-Nevada. Analyzing the sectors and top holdings of these ETFs enables investors to make informed decisions aligned with their specific investment objectives and risk tolerance.
GLDM overlap GLDM VS GDX
GLDM VS GDX: Capitalization and Strategy
The GLDM ETF boasts a substantial Asset Under Management (AUM), reflecting its popularity among investors seeking direct exposure to the value of gold. On the other hand, GDX follows a strategy that aims to capitalize on the performance of gold mining companies. The difference in capitalization and strategic approach between the two ETFs introduces varied potential for returns and risk, necessitating careful consideration by investors.
GLDM VS GDX: Tracking and Exposure
The primary objective of GLDM is to provide investors with exposure to the daily price movements of gold. Conversely, GDX offers exposure to the gold mining industry. The methods of tracking also diverge: GLDM utilizes gold bullion to closely mirror gold prices, while GDX tracks an index comprised of gold mining stocks. An in-depth understanding of these distinctive tracking and exposure strategies empowers investors to select the ETF that aligns with their individual preferences and risk appetite.
Conclusion
GLDM and GDX are distinct ETFs, each offering a specialized approach to investing in the gold market. For those seeking deeper insights into holdings, correlations, overlaps, and other vital information, ETF Insider stands as the ultimate tool. With its user-friendly application, it furnishes comprehensive details on these financial instruments and more.
Disclaimer: This article is not intended to provide investment advisory services.
Sources:
GLDM ETF issuer
GLDM ETF official page
GLDM 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 GLDM SPDR Gold MiniShares Trust, access our dedicated page now.