AI strength, solid earnings, and upbeat 2026 forecasts fuel momentum plays. These five ETFs -- GDXJ, SLV, KBE, MDYV & IWM -- may still have room to run.
Silver and gold have delivered extraordinary momentum in 2025, driven by soaring spot prices and supportive monetary signals, including a near-90% implied probability of a December 10 rate cut. While miner ETFs can outperform their underlying metals during strong bull cycles, they also carry amplified downside risk, which is greater now as silver and gold trade near all-time highs. Year-to-date, my five silver and gold ETFs are up an average of 153% and offer an average five-year dividend growth rate of nearly 26%.
Gold remains in a strong long-term bullish trend, with junior gold miners and related ETFs delivering leveraged upside performance in 2025. GDXJ, JNUG, and GDXU have all significantly outperformed gold futures recently, with GDXU providing the highest short-term returns. GDXJ is unleveraged but carries inherent risk; JNUG and GDXU offer explicit leverage and require disciplined risk management due to time decay and volatility.
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The described company is a specialized investment fund focused primarily on the gold and silver mining industry. It dedicates at least 80% of its total assets to securities that are part of a specific index. This index is comprised of companies heavily reliant on gold and/or silver mining, royalties, or streaming for revenue. Specifically, these companies must generate at least 50% of their income from such activities or own mining projects that have the potential to do so upon development. It’s noted that the fund operates with a non-diversified investment approach, emphasizing a concentrated investment strategy in the gold and silver sectors.
The fund invests significantly in companies involved in gold and silver mining. This includes firms that either currently derive a majority of their revenue from these precious metals or have tangible plans in place for projects that are expected to do so. This investment approach aims to leverage the potential growth and price appreciation in the gold and silver markets.
Another key area of focus for the fund is investing in companies that deal with royalties or streaming agreements in the gold and silver sectors. These financial arrangements provide the fund with exposure to commodity prices and the operational performance of mining projects, often with less risk than direct mining investments.
The fund’s investment strategy is heavily based on tracking an index that includes companies meeting specific criteria related to their gold and silver revenue. This strategy provides investors with a diversified exposure to the precious metals sector through a single investment, albeit the fund itself is non-diversified, focusing on a narrow part of the market.